HomeMy WebLinkAbout2012-044-06/26/2012-ADOPTING AN ECONOMIC HEALTH STRATEGIC PLAN FOR THE CITY OF FORT COLLINS RESOLUTION 2012-044
OF THE COUNCIL OF THE CITY OF FORT COLLINS
ADOPTING AN ECONOMIC HEALTH STRATEGIC PLAN
FOR THE CITY OF FORT COLLINS
WHEREAS,on September 5,2006,the City Council adopted Resolution 2006-097,adopting
the City's Economic Action Plan; and
WHEREAS,on February 15,2011,the City Council adopted Resolution 2011-015,adopting
revisions to"City Plan,"the City's comprehensive plan,including a series of Principles and Policies
related to economic health; and
WHEREAS,in May 2011,City staff began working to develop an Economic Health Strategic
Plan as an extension of the City's previous economic health planning efforts and in order to integrate
as part of the City's economic health planning efforts the concepts and priorities established in City
Plan; and
WHEREAS, the City Council considered and discussed the economic health planning
process and provided input to staff regarding the plan development process, as well the scope and
content of the plan, at work sessions on May 10, 2011, July 12, 2011, December 13, 2011, and
March 27, 2012; and
WHEREAS,the Economic Advisory Commission provided input to staff in connection with
the planning process, and at its meeting on May 16, 2012, voted to recommend adoption of the
Economic Health Strategic Plan, attached hereto as Exhibit "A" and incorporated herein by this
reference (the "Plan") ; and
WHEREAS,the City Council believes that the adoption and implementation of the Plan will
assist the City in collaborating with academia, business interests, and non-profit and governmental
entities to promote a healthy, resilient economy in Fort Collins by cultivating quality of place,
innovation and stewardship; and
WHEREAS, for the foregoing reasons, the City Council wishes to approve the Plan.
NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF FORT
COLLINS as follows:
Section 1. That the City Council hereby approves and adopts the Economic Health
Strategic Plan.
Section 2. That the City Council hereby directs the City Manager to provide to the City
Council no less frequently than annually a report on the status of the implementation of the Plan,the
successes and outcomes from the implementation of the Plan,and any recommendations for interim
modifications to the Plan.
Passed and adopted at an adjourned meeting of the Council of the City of Fort Collins this
26th day of June A.D. 2012.
Mayo
ATTEST:
Interim City Clerk
City EXHIBIT A
F6rt Colli
ECONOMIC HEALTH STRATEGIC PLAN
June 2012
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City of Fort Collins , CO
TABLE OF CONTENTS
TABLE OF CONTENTS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 ABOUT US
ACKNOWLEDGEMENTS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 TIP STRATEGIES, INC . is a privately held Austin-based economic
INTRODUCTION . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3
development consulting firm committed to providing quality
solutions for public and private-sector clients . Established in 1995 ,
GOAL 1 : BUSINESS SUPPORT . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14 the firm's primary focus is economic development strategic
GOAL 2 : INNOVATION ECONOMY . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18 planning .
GOAL 3 : TALENT MANAGEMENT . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24 Jon Roberts , Managing Director
GOAL 4 : COMMUNITY CULTURE / QUALITY OF PLACE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 32 Caroline Alexander, Project Manager
IMPLEMENTATION . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 40 Kathleen Baireuther, Consultant
APPENDIX A: ASSESSMENT . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 68 ATLAS ADVERTISING has helped 60+ communities in 35+ states
APPENDIX B : SUMMARY OF PUBLIC INPUT . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 116 lead and support economic growth and development in their
communities . They have helped organizations face the national and
APPENDIX C : BENCHMARK RESEARCH . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 120 prospect marketplace in ways they have never done before ,
APPENDIX D : INNOVATION ECOSYSTEM ASSESSMENT ( ISAAC BARCHAS) . . . . . . . . . . . . . . . . . . . 133 increasing inquiry levels , prospect activity, and stakeholder
engagement.
Ben Wright, CEO
Peter Brown , Creative Director
Keeley Sullivan , Senior Account Manager
ISAAC BARCHAS, executive director of the Austin Technology
Incubator, is a national expert in commercialization/technology
transfer and a global expert in business incubation and
entrepreneurial support. During his tenure with the University of
Texas , he has served as the director of the Austin Technology
Incubator and as associate director of the IC2 Institute . In addition ,
Isaac has acted as advisor on incubation and commercialization
strategy to teams from multiple nations .
TIP Strategies, Inc. Theory Into Practice 1
City of Fort Collins, CO
ACKNOWLEDGEMENTS
TIP Strategies , Atlas Advertising , and Isaac Barchas would like to thank the many individuals who participated in the development of this plan . We are particularly grateful to
the business and public sector representatives who generously gave their time and input. Their knowledge and creativity contributed greatly to our understanding of Fort
Collins' development opportunities and our recommendations .
We would also like to thank the leadership , staff, and the Economic Advisory Commission of the City of Fort Collins for their critical guidance , support, and feedback .
Mayor and City Council City Manager
Karen Weitkunat, Mayor Darin Atteberry, City Manager
Kelly Ohlson , Mayor Pro Tem , District 5 Bruce Hendee , Chief Sustainability Officer
Ben Manvel , Councilmember, District 1
Lisa Poppaw, Councilmember, District 2 Economic Health
Aislinn Kottwitz, Councilmember, District 3 Josh Birks , Economic Health Director
Wade Troxell , Councilmember, District 4 Claire Thomas , Marketing and Publicity Specialist
Gerry Horak, Councilmember, District 6 Megan Bolin , Planner
SeonAh Kendall , Economic Health Analyst
The Economic Advisory Commission
Stu MacMillan Urban Renewal Authority
Bill Timpson Christina Vincent, former Redevelopment Program Administrator
Christophe Febvre
Rick Price
Channing Arndt
Michael Kulischeck
Blue Hovatter
Jim Clark
Sam Solt
TIP Strategies, Inc. Theory Into Practice 2
City of Fort Collins , CO
INTRODUCTION
Fort Collins enjoys an economic, social , and environmental vitality that is the envy of many communities
its size . The high quality of place attributed to Fort Collins comes from the lively historic downtown and
the city's impressive parks , trails , and open space networks . These community assets make Fort Collins 1 ��
an attractive place for both a well educated workforce and diverse industries .
Fort Collins includes a wide array of economic engines , such as Poudre Valley Health System , Hewlett z
Packard and Woodward-Governor, employing almost 13 ,000 workers representing a diverse economic jib
base . Combine these economic engines with a major land rant university in Colorado State University
g 1 g Y Y
and the result is a burgeoning culture of entrepreneurship . This innovation ecosystem has produced a —
number of home-grown companies, whose products now reach markets across the world , including ,
among others , New Belgium Brewery, Otterbox, and Envirofit. F
x
The City implements a variety of programs and services focused on preserving and enhancing
economic health and resiliency. Prior to and during the mid-2000s , the economy was not a specific
focus . City efforts centered on constructing and maintaining high-quality community assets such as
parks , trails , and open space . The economic downturn of 2001 -2003 triggered by a bursting of the
technology sector bubble created the impetus for City Council to embrace a new direction on the •
economy. City Council created the Economic Vitality and Sustainability Action Group , which made
recommendations on how to balance the community's value of stewardship and quality of place against
engagement in economic health efforts . City Council revised and adopted the recommendations and formed them into the 2005 Economic Action Plan .
More recently, the City of Fort Collins embarked on the Plan Fort Collins initiative to update City Plan, the City's comprehensive plan . The revisions of the comprehensive plan
expanded greatly on the role and linkage of economic health in the community to the other six focus areas in the comprehensive plan . The revised version of City Plan evolved
the thinking regarding economic health and articulated a new focus on health and resiliency . This Economic Health Strategic Plan is an extension of the evolution begun in the
City Plan . It focuses on encouraging local business activity and efficient use of land to achieve the goal of a healthy resilient economy. (The Economic Health Evolution is
highlighted on the following page .)
In the past seven years , the Economic Health Office ( EHO) has completed many of the items in the 2005 Action Plan , including a target industry study, a sales tax analysis
tool , hiring an economic staff lead , improving the development review process , and creating an economic health communication plan . It has also adopted the principles and
policies set forth in the City Plan .
TIP Strategies, Inc. Theory Into Practice 3
City of Fort Collins, CO
The Evolution of Economic Health
2005 ECONOMIC HEALTH VISION 2o10 ECONOMIC HEALTH VISION 2012 ECONOMIC HEALTH VISION
"A healthy economy reflecting the values of our unique A health and resilient economy. Fort Collins: Crafting a dynamic culture of innovation and
community in a changing world. " 1. Diverse jobs that enable citizens and businesses to thrive stewardship to cultivate quality of place and economic health.
2. Reflects the values of our unique community in a changing world
ECONOMIC VALUES 3. An innovative, creative, and entrepreneurial atmosphere The vision should be the unifying theme across the principle
1 . The primary keys to our unique identity and economic health 4. Strong partnerships and collaboration with the private sector projects, collaboration, research, and City policies geared toward
are: educational institutions, and other organizations. promoting economic health in Fort Collins.
■ The natural environment PRINCIPLES AND POLICIES GUIDING PRINCIPLES
■ Old Town / Downtown
■ Colorado State University 1 . Pursue development of a vibrant and resilient economy that A Healthy, Resilient Economy
■ Culture and the arts reflects the values of our unique community in a changing
9 P
2. We value to Poudre R-1 Schools, Front Range Community
world . The collaboration of government, academia, companies, and non-
College, and our other educational institutions and the quality Support job creation profits is the foundation of this approach .
education they provide. Maximize retail sales tax revenue
3. eduSuscation
they
and economic health are strengthened through 0 Prioritize essential infrastructure/capital facilities 1 . Create more and better economic opportunity for residents.
community partnerships and collaborations. Target the use of incentives to achieve community goals 2. Diversify the tax base to help insulate Fort Collins from
2. Support the growth of the innovation economy to set the stage economic shocks. ■
4. We value the next generation of citizens and their quality of for business development, job creation , and a thriving •
p 1 9 3. Preserve Fort Collins' unique quality of lace and culture.
life as much as our own . q q y p
entrepreneurial environment.
5. We value businesses that contribute to the economic,
environmental, social, and cultural health of our community. ■ Support targeted industry clusters GOALS
■ Support an innovative economy •
6. Supporting innovation and growing businesses from within are 0 Develop economic partnerships 1 . Facilitate a stronger support network for existing employers, new
Develop the assets to support entrepreneurship businesses, and small business.
important to economic health . g pp g
7. We value our existing businesses and the prospect of 3. Support local, unique, and creative businesses. 2. Enhance the innovation ecosystem and economy that supports
welcoming new businesses. y y pp
Support programs emphasizing local business companies at all stages and aligns with Citygoals.
8. We value a City organization that y Define and support the Uniquely Fort Collins Cluster 3. Create a system for talent development, retention and recruitment
■ Proactive about our economy Support local and creative entrepreneurship that responds to and anticipates employers' needs.
■ Responsive to our business concerns 0 Support the brewing industry 4. Develop community assets and infrastructure necessary to
9. Municipal services contribute to making Fort Collins a great 4. Encourage the redevelopment of strategic areas within the support the region's employers and talent.
and visionary city and depend on a healthy economy that fuels community.
a reliable revenue stream. Prioritize targeted redevelopment areas
KEY STRATEGIES Encourage infill development and redevelopment
■ Develop fee schedules for development and
■ Diversify the economy redevelopment
■ Be proactive 5. Participate in regional economic development efforts.
■ Form partnerships Support the Fort Collins/Loveland Airport
■ Balanced approach Prioritize regional infrastructure
TIP Strategies , Inc. Theory Into Practice 4
City of Fort Collins , CO
About the Plan
In May 2011 , the City, with the assistance of the TIP Strategies team , began work on the 2012 Economic Health Strategic Plan (EHSP) . The EHSP is an extension of the
City's previous economic health planning efforts and represents the evolution of the City's approach to Economic Health .
The EHSP process started with a review of the public input collected as part of the Plan Fort Collins Initiative . This input was augmented with a targeted input strategy aimed
at the City's primary economic development partners and stakeholders . Through a series of interviews and focus groups that included 60 people , 2 stakeholder workshops ,
and a public open house , TIP and City staff gathered the input to inform this plan 's understanding of Fort Collins, its culture , its values , and its priorities .
From the first meeting , it was clear that this was not to be an ordinary plan . The plan would need to reflect the unique community character of Fort Collins. Innovation and
entrepreneurship, along with an emphasis on the local economy, would form the foundation of the plan . Furthermore , the existing focus of the Economic Health Office was
reinforced as business retention , expansion , and incubation . The City's role in business attraction would be limited to the proactive recruitment of companies that fill specific
gaps in the target industry clusters .
At the same time , the consulting team was tasked with providing a data-driven analysis to understand the economy, the regional workforce , and the city's economic drivers . To
create the plan , the team drew upon these sources of input, along with experience and knowledge of how other communities have tackled the issues that Fort Collins faces.
The end result is the plan set forth on the following pages .
The plan presents a city-wide - and community-driven - response to economic health . The City cannot, however, implement this plan alone . It will require the support of
stakeholders and a collaborative approach . This partnership creates a stronger EHSP because it recognizes the ability of the City to leverage community organizations and
stakeholders invested in economic health . These include Colorado State University, the Small Business Development Center, Larimer County Workforce Center, Northern
Colorado Economic Development Corporation , Rocky Mountain Innosphere , UniverCity Connections , the Chamber, and many others . The final section of this plan addresses
implementation and outlines a series of tasks and community partners that might assist in implementation .
Finally, the plan also recognizes that numerous private sector stakeholders share an interest , and in many cases hold a vested interest, in the health and resiliency of the local
economy. A collaborative approach allows for the City to engage these stakeholders and ensure that the community's values and character are conveyed in the Fort Collins
story that is shared with an external audience . This engagement permits the City to influence economic outcomes and development patterns to a greater degree .
TIP Strategies, Inc. Theory Into Practice 5
City of Fort Collins , CC
Strengths, Weaknesses, Opportunities, Threats
WEAKNESSES STRENGTHS
60
US is a low-risk, investment in
GRAPHIC : SWOT ANALYSIS political high-transparency alternative
instability and investment
TIP conducted an economic • • destination energy
regional growth federal deficit &
development Strength , Opportunities , disparities downward pressure 1-25
Weakness , and Threats (SWOT) on ED and R&D Corridor
analysis of the economic health assets funding favorable
sluggish exchange rate for
and opportunities in the City. The growth in US • US$ benefits
analysis is based on a review of economy, high Front exporters
unemployment skills Range
economic, demographic, and workforce cc proximity to natural assets 1
characteristics , interviews with local mismatch educated Denver outdoor
and regional business and community in the shadow workforce healthcare Fort playground
of Boulder system & ZED
leaders , and TIP's experience working economic PVHs
innovation strong
with communities and regions across diversification infrastructure Old K-12 top 5 states to
do business
the country. The graphic summarizes access to Town R&D at (CNBC) •
capital fiscal federal labs
the results Of the analysis .y limited statz sustainability & CSU
incentives ability to progressive support for economic
attract CSU utilities independent health growing •
The size of the bubble is intended to executives business & toolbox clean energy
influence on arts & bioscience
convey the consulting teams view of open labor clusters
higher aging commercial how key sites networks align
the relative importance of the topic, and tourism &
education corridors marketed
in some cases , the likelihood of impact funding retention
t incubator
ED
In the region . graduates support for
lack of available collaborate emerging
commercial high quality office more closely with clusters
Items closer to the center of the graph growth going to space CSU regionai ED
surrounding collaboration with federal export
tend to be more local in nature . Those communities Denver, Boulder, initiative mayopen
Colorado Springs newopportunities
at the outer corners are influenced by climate environmental for local producers
state , national , or global trends , placing change stewardship
them to some degree outside of local or state/regional
regional Control . economy growing global
unstable demand for US
commodity markets products and
Note : economic development is abbreviated immigration services
"ED" in the graphic. restrictions
THREATS OPPORTUNITIES
TIP Strategies , Inc. Theory Into Practice 6
City of Fort Collins , CO
Strengths/Opportunities
Colorado State University (CSU ). Colorado State University's role in Fort Collins reaches far beyond being a higher
education provider. CSU 's enrollment is approaching 30 ,000 students , bringing almost 7 ,000 new students to Fort Collins
every year. This fact makes CSU the city's primary magnet for attracting talented young people . It is also Fort Collins' largest
employer, with 6 , 100 workers . Additionally, CSU serves as a primary economic engine for the City, both in terms of tax
revenue and innovation . A 2009 study of the economic impact of CSU states that: "CSU employees generate 11 % of
household income in Fort Collins , which is over $250 million annually. The combination of CSU employees and students
accounts for almost 16% of the total tax revenue for the City of Fort Collins. An additional 600 jobs are supported in Fort
Collins alone by an estimated $ 168 million in annual student spending on housing , food , entertainment, and more . The total
rr _ CSU effect on local Fort Collins tax revenue is almost $ 13 million ." Furthermore , the University spends over $300 million
annually on research , which fuels the innovation economy in Fort Collins . This has translated into 20 new start-up companies
in the past 5 years , many of which reside in Fort Collins , and 136 innovations licensed to Colorado companies . The health of
Fort Collins is tied closely to the strength of CSU . Nurturing this relationship and seeking ways to strengthen the town-gown
partnership will be a key to the City's economic health and stability.
Innovation Infrastructure. Fort Collins is fortunate to have prolific sources of intellectual
property and research to fuel its innovation economy. As mentioned above , CSU spends SAMPLE OF FORT COLLINS RESEARCH EXPERTISE
over $300 million annually on research . Aside from the inventions and start-up companies Health :
that these research dollars generate , the university has a number of centers focused on Regional Biocontainment Laboratory
applied and translational research in partnership with outside entities . For example , the Rocky Mountain Regional Center of Excellence
Judson M . Harper Research Complex, which includes the Research Innovation Center
Vector-Borne Infectious Disease Research
( RIC) , and the Engines and Energy Conversion Lab (EECL) , partners with federal and
private entities to advance research related to their areas of specialization — infectious Natural Resource Management:
disease and engines , respectively. In addition , Fort Collins is home to the 30-acre Natural USGS Fort Collins Science Center
Resources Research Center (NRRC) , which is a partnership between CSU , the US General USDA National Wildlife Research Center
Services Administration , and six federal agencies , including the US Geological Survey Engines .
( USGS) , the US Department of Agriculture ( USDA) , and the US Department of the Interior. Engines & Energy Conversion Laboratory
Many of Fort Collins' large technology companies such as HP , Intel , and Avago also conduct
research in Fort Collins . For example , HP has a state-of-the-art research facility to Hardware & Software :
investigate sustainable data center technologies , and Intel has a design center that focuses HP
on software development as well as microprocessor development. This research and Intel Design Center
TIP Strategies , Inc. Theory Into Practice 7
City of Fort Collins , CO
development infrastructure is the foundation for Fort Collins' innovation economy. These sources of innovation are accompanied by a growing ecosystem of entrepreneurs and
support organizations that can help take these ideas from concept to product. As this ecosystem grows and develops , Fort Collins can gain international prominence for
innovative companies .
Educated Workforce. The City of Fort Collins has one of the most educated adult populations in the nation . Forty-nine percent of the population in the City of Fort Collins that
is 25 and older has earned a bachelor's degree or higher. In the Fort Collins MSA, 41 % of the population age 25 or older have a bachelor's degree or higher. At the national
level , only 28% of the population has a bachelor's degree or higher. Since high educational attainment is a positive indicator of workforce quality, Fort Collins certainly excels
in this area . Furthermore , educational attainment has a wide range of societal benefits . A better educated population is associated with higher incomes , lower levels of
unemployment and poverty, lower smoking rates , better personal health , and lower incarceration rates . It is also correlated with higher levels of civic participation .
Weaknesses/Threats
Economic Cycles. Though the local economy out-performed the national economy
throughout most of the 1990s, more recently it has closely tracked the nation . In UNEMPLOYMENT RATES COMPARED
addition , the 2000 and 2008 recessions put the economy and its health at the forefront 10%
of the City's mind , demonstrating that Fort Collins is not insulated from powerful 9% us —Fort Collins
economic shocks . When the Internet bubble burst, Fort Collins' unemployment rate 8%
doubled , reaching almost 6% . More recently, during the Great Recession , 7%
unemployment peaked at 8 . 5% . In comparison to the national economy, which reached 6% -
a peak unemployment rate of 9. 7% , Fort Collins fared better. Nevertheless , the effects 5%
of the economic downturn were deeply felt by many in the community, particularly by 4%
the 7 , 000 unemployed residents . 3%
Skills Mismatch . Forty-one percent of the population in the Fort Collins MSA age 25 or 2%
older have a bachelor's degree or higher. However, close to two-thirds of the jobs 1 %
require only on-the-job training or prior experience . 0% N M v Ln (o r, M 0) 0 N CO v Ln (o r` °o rn 0
M M M M M M M M M o 0 0 0 0 0 0 0 0 0
M M M M M M M M M 0 0 0 0 0 0 0 0 0 0 0 0
� � � � � � � � � N N N N N N N N N N N N
This poses a threat to the City's employers who may have trouble finding talent locally Source: US Bureau of Labor Statistics, LADS.
to fill open positions . The regional manufacturers, in particular, have voiced concerns
about finding workers to fill production occupations (such as machinists) .
In addition , the skills mismatch creates both opportunities and challenges for the City. Many residents are willing to accept jobs for which they are over qualified in order to live
in Fort Collins . The result is an untapped well of skill capacity that, if utilized , allows the community to prosper economically without having to grow in terms of population .
Other residents, however, choose to look outside of Fort Collins for work. This creates a situation where highly educated residents must commute to other communities for
TIP Strategies, Inc. Theory Into Practice 8
City of Fort Collins, CO
work and local employers must recruit outside the city to find workers . This can cause additional stress to regional transportation networks and have social impacts in areas
such as the community's quality of life , family stability, and general well-being .
In any case , bringing the skills of residents and the talent requirements of employers into balance can greatly benefit the city. It enhances local employers' abilities to fill open
positions with local talent. It also creates an opportunity to move under-employed people into better jobs and to move unemployed people into the jobs those under-employed
currently occupy. Expanding labor force participation by adding high quality jobs will also have a positive impact on the earnings of many households in the city , which , in turn ,
has a positive effect on the economy.
Fiscal Sustainability. With a significant dependence on sales tax revenues , the city is MAJOR SOURCES OF TAX REVENUE
overly vulnerable to business cycles and retail competition from surrounding
communities . During the recent recession , sales tax collections dropped from $77 . Total property tax levy Restricted sales a use tax collections
million in 2007 to $71 million in 2009 . By 2010 , tax receipts had recovered to $74 $100 • General use tax collections General sales tax collections
million , but three years of low sales tax collections forced the City to make dramatic $90
budget cuts . These cuts , however, were on top of cuts in planned and existing $8o - - ■ ■ ■ ■
expenses that had been made over the course of the previous 5 years . By 2010 , the $60
City had significant unfunded current and future needs in areas such as street $50 -
$40
maintenance , public safety, and parks and recreation . In 2010 , there was a successful $30
campaign to raise the sales tax rate by . 85% , which went into effect on January 1 , $20
$10
2011 . This alleviated the current situation , but the City's fiscal situation remains $0
vulnerable to further economic stresses . 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
Source: City of Fort Collins, 2011 -2012 Biennial Budget, Larimer County Assessor's
Diversifying the City's tax base away from sales tax is one method to secure Fort office.
Collins' fiscal future . This can result in larger and more stable tax revenues for the City
without having to increase taxes . Expanding the industrial and commercial tax base
grows the City's property tax receipts . This would also likely create more jobs in Fort Collins , keeping employees and their spending in the community. In addition , projects
such as a conference center and hotel could both expand the commercial tax base and generate more hotel occupancy taxes .
While development will continue to occur organically in the community, the City's participation in encouraging the diversification of its tax base should be careful and deliberate
to ensure that development is in line with its vision , culture , and values .
Economic Diversification . The Fort Collins economy is relatively diverse , with 12 industry sectors that employ over 5 ,000 workers each . Of these 12 sectors , half pay less
than the Metropolitan Statistical Area's (MSA) average wage , and all but one sector pays less than the national average for those sectors . In addition , five of the top employers
are in the government sector. In fact, the government sector is the MSA's largest, accounting for 15% of all jobs . While the public sector provides high quality jobs for
residents, it does not directly add to the tax base of the city, especially since its property is tax-exempt.
TIP Strategies , Inc. Theory Into Practice 9
City of Fort Collins, CO
The city's manufacturing sector, which accounted for 11 % of the MSA's jobs in 2001 , JOB BASE BY INDUSTRY SECTOR IN THE FORT COLLINS
contracted dramatically over the course of the decade and currently accounts for only
Government (inG. public ed.) 1 27,916
6% of the jobs . Between 2001 and 2010 , the sector lost almost 7 ,000 jobs . At the same Retail trade 20,795
Healthctime , Fort Collins' GDP for the sector rose from $ 1 . 1 billion to $ 1 .7 billion , or 56% . This Professional s ec,�ml sevi� 16,6139495
rise in productivity has led to a transformation of the sector, leaving a significant portion Restaurants, bars, & hotels ,4,965
p Y g g
Construction 12,243
of the workforce either unemployed or uncertain of their future . This transformation has Manufacturing 11,667
Administrative services 11 ,253
also created opportunities for innovative models and technological solutions to address Property sales & leasing 11,086
Finance & insurance 9,353
the new needs of the sector. Personal & other services 7,763
Arts, entertainment, & recreation 5,104
Wholesale trade 3,805
These considerations highlight the importance of diversifying the regional economy . To Information & media 3,444
Transportation & warehousing 39430
raise wages, expand the tax base , redeploy its production workers , and capture a part of Educational services (excl. public ad ) M 2,T73
the new manufacturing sector, the City must be vigilant and creative on economic Agriculture, forestry, & fishing = 2,742
Oil, gas, & mining M 11755
Issues . Corporate & regional HQs 1 558
Utilities 1263
0 5,000 10,000 15,000 20,000 25,000 30,000
The Response Source: EMSI Complete Employment - 2011 .2
The Economic Health Strategic Plan (EHSP) is a response to these strengths ,
MANUFACTURING SECTOR IN THE FORT COLLINS MSA
weaknesses , opportunities , and threats . The foundation of this response is the
reinforcing and , in some cases , formalizing the City's relationships with local economic 20,000
development community partners . This leverages the City's resources devoted to —Employment
GDP (in Millions)
economic health and increases the City's overall capacity for economic health 15,000
programs . Doing so could have a significant impact on the overall vitality of the city.
In addition , the EHSP focuses on four components of economic health : the business 10,000
support network, the innovation ecosystem , the system for managing talents, and quality
of place . 51000
Business Support. Strengthening the support network for businesses in Fort Collins is
the first objective of the plan . This recognizes that existing employers and small 0
businesses are the backbone of Fort Collins . Many of the programs to support these o 0 0 0 0 0 0 0 0 0
N N N N N N N N N N
businesses are already in place . Greater collaboration among economic development
Source: U .S . Bureau of Economic Analysis.
partners and an expansion of the offerings will provide tangible benefits to Fort Collins
TIP Strategies, Inc. Theory Into Practice 10
City of Fort Collins, CO
businesses .
Innovation Ecosystem. The EHSP proposes a variety of strategies to strengthen the city and region's innovation ecosystem . The goals are to create a more entrepreneurial
culture , to enhance the city's ability to retain successful companies , and to support a pool of talented workers of all ages . With numerous engines of innovation in the city,
these programmatic recommendations hold great potential for growing and expanding the tax and employment base of Fort Collins.
Talent Management. The proposed talent management program will ensure a strong pipeline of human resources to support existing and future employers. Putting in place
mechanisms for engaging employers will help synchronize workforce development programs and educational institutions with employers' needs . At the same time , specific
outreach and education initiatives aimed at targeted groups will provide talent and employers with more opportunities to connect. While many of these initiatives already exist,
better coordination , along with targeted new programs , will create a more responsive and dynamic system .
Community Culture I Quality of Place. Finally , strategic and catalytic projects have an important role to play. Retaining and selectively attracting businesses can energize
the innovation economy. The City can put in place the structure and process for moving these projects forward . A collaborative approach that combines the strengths of the
public sector, private enterprise, academia , and non-profits is essential . This partnership will be the key to the successful implementation not only of the proposed catalyst
projects but of the City's economic health initiatives in general .
The EHSP aims to put in place the systems , programs , and initiatives needed to maintain and strengthen the Fort Collins economy over the next five years . However, the
social , physical , and economic environment is constantly evolving . To be successful, this plan must become a living , breathing document that evolves with the
environment. The City and its partners can do this by monitoring this constant change , remaining visionary, and tweaking the EHSP regularly to ensure that it stays relevant
and at the cutting edge .
TIP Strategies, Inc. Theory Into Practice 11
City of Fort Collins, CO
Framework
The City of Fort Collins must have a clear vision for its economic health program to be effective and successful . Such clarity provides guidance for programming as well
as investment decisions . It also provides a framework for measuring progress towards goals and program outcomes. This creates a feedback loop that gives City officials
and staff the opportunity to evaluate initiatives and understand what is working and what is not. For these reasons , we preface the plan with guiding principles , a vision ,
and objectives that serve as the foundation for the city's economic health program .
Guiding Principles for Economic Health
The City of Fort Collins deliberately named its program "economic health" rather than the standard "economic development. " This is an important distinction . It implies that
the goal of the City's program is to ensure a balanced and sustainable economy .
The economic health program seeks to create a healthy, resilient economy. To create such an economy, the programs of the EHO should promote economic
opportunity for residents and diversify the tax base of Fort Collins while preserving Fort Collins' unique quality of place and culture .
The City can leverage its resources and strengthen its programs through partnerships with other public sector entities , academia , companies , and non-profits. This system
of partnerships , termed the quadruple helix , can optimize the use of resources , enhance opportunities for successful programs , and maximize the return on the City's
investment. The collaboration fostered by the quadruple helix approach is integral to the success of the economic health program .
Vision
A vision for economic health brings continuity and cohesion to the various initiatives . It brings economic development stakeholders together to operate under a
single umbrella . It becomes the unifying theme across projects , collaboration , research , and policies geared toward promoting economic health in Fort Collins . The
vision proposed in this plan is as follows :
Fort Collins : Crafting a dynamic culture of innovation and stewardship
to cultivate quality of place and economic health.
For the past six years , the City has focused efforts to promote economic health on supporting existing businesses and growing its own new businesses . The proposed
vision respects this heritage and emphasizes the opportunity to leverage many current innovative initiatives related to the stewardship of resources . These initiatives
include Fort Collins Zero Energy District ( Fort ZED) , the City's waste diversion goals , the Mason Corridor bus rapid transit project, research conducted at CSU 's Engine
and Energy Conversion Lab ( EECL) , and the numerous projects of the targeted industry clusters . These initiatives are developing new commercial products and services
TIP Strategies , Inc. Theory Into Practice 12
City of Fort Collins , CO
that represent economic opportunity for the City. Furthermore , these initiatives and the proposed SUMMARY OF ACHIEVEMENTS FROM zoos
vision reflect the culture of entrepreneurship in Fort Collins while connecting it to the community's long ECONOMIC ACTION PLAN
standing values of environmental stewardship and quality of place .
• Established a program of engaging in economic health
Innovation and entrepreneurship are foundational values in the Fort Collins economic model . efforts
Leveraging the quality of place , innovative spirit, and sense of stewardship requires coordination and m Developed a sales tax forecasting and analysis tool
collaboration with the community. Success requires the participation of the City of Fort Collins as a . Improved the Development Review Process implementing
large buyer and a distributor of public goods , the flexibility of its utilities who manage many of the all suggestions from the Zucker report
resources, the expertise of CSU researchers , and the openness of residents and the private sector to . Completed an analysis of Industry Clusters
test new technologies . The concept of an "ecosystem" to support the model will be a powerful
economic engine for the local economy and a means of enhancing investment in the region . Implemented a program Target Industry Cluster
initiatives focused on delivering projects that contribute to
innovation and stewardship
Goals Created and implemented an economic health
To achieve the City's mission of creating a healthy and resilient economy and to realize the vision of
■ communications plan
crafting a culture of innovation and stewardship, the City must establish goals to provide concrete ' Constructed Rocky Mountain Innosphere ; 31 , 000 SF LEED
direction . The four goals identified as the pillars of this plan are : Platinum business incubator
• Implemented FortZED 5 Megawatt Jumpstart
1 . Facilitate a stronger support network for existing employers , new businesses, and small business. Demonstration Project
2. Enhance the innovation ecosystem and economy that supports companies at all stages and aligns
with City goals.
3. Create a system for talent development, retention and recruitment that responds to and anticipates employers' needs.
4 . Develop community assets and infrastructure necessary to support the region's employers and talent.
The vision and goals laid out in this plan are meant to build upon what was established in the City's 2005 Economic Action Plan and the 2010 City Plan . The 2012
Economic Health Strategic Plan (EHSP) aims to strengthen the foundation , scale up the economic health program , and increase its effectiveness .
As in the 2005 plan , the concept of the innovation economy still plays a central role in the EHSP . With the research and development capabilities present in Fort Collins
today , the City cannot afford to ignore this engine of economic prosperity. A stronger innovation system for commercializing technologies, bringing products to market,
supporting entrepreneurship , and developing the resources and capital necessary to cultivate businesses are central to the EHSP .
The EHSP also recognizes that a resilient employment base , ample economic opportunity, a high quality pool of talent, an array of amenities , and a strong sense of place
are factors that contribute to the success of the innovation economy as well as Fort Collins' overall economic health .
TIP Strategies , Inc. Theory Into Practice 13
City of Fort Collins, CO
GOAL 1 : BUSINESS SUPPORT
Facilitate a stronger support network for existing employers, JOB CREATION BY BUSINESS TYPE
new businesses, and small business .
12 :1K Existing Business ■ New Business Closures
Fort Collins' existing employers , new businesses , and
PRIORITY PROJECTS small businesses form the backbone of the local 8'0°°
1 . Major Employer Visitation economy. Between 2004 and 2008 , Fort Collins' new
4,000
Program businesses were responsible for almost 15 , 000 jobs,
2 . Industry Councils about 13% of the 2008 private sector job base . Even o
3 . Information Clearinghouse for while businesses were closing and existing
Competitive Intelligence businesses were beginning to shed jobs, new -4000
businesses were generating new jobs . -
SUGGESTED METRICS e000
2004-05 2005-06 2006-07 2007-08
■ Companies assisted & retained In the Fort Collins MSA, businesses with less than 20
(jobs Created , average wages , Source: US Census Bureau , Statistics of US Businesses.
(j g g employees account for about 25% of all private sector
investment) jobs , and very large businesses with more than 500
■ Companies lost (jobs lost, PRIVATE EMPLOYMENT BY BUSINESS SIZE
reason(s) why) employees account for just over 40% of jobs . Existing
employers (employers at least 3 years old) account 120,000 . soo+
0499
for about 80% of the MSA's private sector 220
employment. New businesses (less than 3 years old )
account for about 20% of private sector employment. These statistics shows that business retention and 80,000
expansion and economic gardening are not just viable economic development strategies , but are
essential for fostering a healthy economy.
This fact was recognized and emphasized in the 2005 Economic Action Plan . Consistent with the 2005
Economic Action Plan , the Economic Health Office ( EHO) conducted a business retention and
expansion survey in partnership with Northern Colorado Economic Development Corporation ( NCEDC) -
21-o4 zooe zoM 2007 zoos
and the Chamber, reaching over 100 companies in Larimer County over the course of 2010 . In addition ,
the EHO assisted local companies looking to expand by helping them navigate the development Source: US Census Bureau , Statistics of US Businesses.
process of the city and securing funding for eligible projects using various public finance tools . The EHO
TIP Strategies , Inc. Theory Into Practice 14
City of Fort Collins, CO
continues to be an important partner for local businesses , facilitating expansion wherever possible . The 2012 EHSP proposes to enhance and formalize aspects of the
City's business retention and expansion program and economic gardening program .
Strategies
1 . Enhance Fort Collins ' business retention and expansion program .
1 . 1 . Visitation . Continue to expand the visitation program to the city's largest
employers . BUSINESS RETENTION AND EXPANSION
■ Establish and maintain relationships with at least the top 20 largest The City has focused its economic health programs on a grow-your-
employers in Fort Collins to keep a direct line open to the business own strategy. While innovation and business creation are an
community. important part of this strategy, a robust business retention and
City officials should visit these employers annually to understand their expansion program can generate a significant return on investment.
■ economic health , ascertain any needs , and identify ways the City can help .
Existing businesses form the backbone of a thriving economy. They
■ For those employers with headquarters located outside of Fort Collins , typically represent the best opportunity for increasing the
establish relationships by meeting face to face with executives from the employment and tax base of a community and the greatest
headquarters , either in their home office or on a trip to Fort Collins . economic threat if they close or relocate .
1 .2 . Business Survey. Continue to expand the reach of the employer survey, and The proposed strategies regarding the BRE program will strengthen
coordinate with NCEDC to produce county-wide results . the City's ties with its most important employers while expanding
■ Database - Establish and maintain a database of existing businesses in Fort the reach of the program . It will collect more information and
Collins using Sales and Use Tax licenses . Revise the application form to provide resources to synthesize , summarize , and distribute that
include information useful for the BRE program , such as number of information . It will also provide a mechanism for responding to
employees , email address of contact, and applicable North American employers' immediate needs .
Industry Classification System (NAICS) code .
■ Customer Relationship Management - Use this database to populate a web-
based system that can be shared between the City , NCEDC , and the Chamber. Examples of such systems include Synchronist OpMgr, Executive Pulse ,
ACT! , and SalesForce . com .
■ Business Attitude - Include questions on the survey for employers regarding their attitude toward the business climate , talent availability, and workforce
quality in Fort Collins .
TIP Strategies , Inc. Theory Into Practice 11
City of Fort Collins, CO
■ Survey — Administer an online survey to the database of employers on an annual basis .
■ Visitation - Conduct regular visits to at least 40 businesses each year; schedule in-person ECONOMIC HEALTH TOOLBOX
interviews to ask detailed questions about business needs. Special Financing Districts
■ Annual Report - Compile the results of the survey and key findings from the visits into an annual
report on the state of Fort Collins' businesses and the overall business climate . Flesh out any Tax Increment Financing
issues that arise with facts and data that provide readers with information on the current state of General Improvement District
affairs . Special Improvement District
Metropolitan Improvement District
■ Rapid Response Team - Create formal response mechanisms, such as a rapid response team , to Business Improvement District Public
address the needs of any employer facing closure or relocation outside of Fort Collins . The team Improvement Fee
should be composed of representatives from the various economic development stakeholders
that have the ability and authority to directly address the needs of the employer. Low-Interest Capital
1 . 3 . Industry Councils . In collaboration with community partners , establish industry councils for broad
industry groups such as manufacturing , healthcare , and technology. Private Activity Bond
Section 108 Loan Guarantee
■ Hold regular meetings to provide forums for communication .
Tax Rebates
■ Identify cross-cutting issues that affect the sector.
■ Craft solutions, monitor the issues , and track progress towards addressing the issues . Use Tax Rebate
1 .4 . Business Recognition . Establish a business appreciation program that recognizes existing Personal Property Tax Rebate
businesses in the community . For Low to Moderate Income Areas /
■ Participate in the Colorado Companies to Watch program . Individuals
■ Develop an annual event to recognize existing businesses in the community. New Market Tax Credit
■ Develop an on-going program to recognize companies based on their anniversary (e .g . 5 , 10 , 20 , Affordable Housing Fund
30 , and 50 years) . HOME Investment Partnership Grant
Community Development Block Grants
2 . Create stronger connections between components of Fort Collins' small Section 108Loan Guarantee
business support system .
Source : City of Fort Collins.
2 . 1 . Support Network. Institute a coordinated small business support network by fostering more
interaction between small business service providers including the Chamber, SBDC , the Poudre
TIP Strategies , Inc. Theory Into Practice 16
City of Fort Collins, CO
River Public Library's Business and Non-Profit Center, Be Local Northern Colorado , Arts Incubator of the Rockies (Beet Street) , and others .
■ Hold periodic meetings of these stakeholders to plan or share calendars
of events , discuss ideas and issues , and identify ways to better serve the SAMPLE COMPETITIVE INTELLIGENCE DATABASES
small business community of Fort Collins .
■ Identify barriers to starting a business in Fort Collins , and work with the Company Information 1 Business Intelligence
appropriate entities to alleviate those barriers . D&B Million Dollar Database (www. dnbmdd . com/mddi/)
■ Coordinate a communications and outreach effort to inform the small Hoovers (www. hoovers .com)
business community of the resources available to them . Demographic / Market Information
2 .2 . Resources . Fill gaps in services to ensure that small businesses have
access to the services and resources that they need . Demographics Now (www.demographicsnow. com)
■ Expand the Business and Nonprofit Center's information clearinghouse to ESRI (www.esri . com)
provide sophisticated , high quality industry and market information to Nielsons Claritas (www.claritas .com)
small businesses and entrepreneurs . New Sources and Web-based Research Tools
■ Strengthen the capacity of the SBDC to provide the small business
community with one-on-one counseling . Ebsco Business Source Premier (www.ebscohost.com)
Factiva — Dow Jones (www.factiva . com)
■ Establish a more comprehensive technical assistance and training IBISWorld (www. ibisworld .com)
program that offers workshops and training series for basic and advanced Lexis/Nexis (www. lexisnexis .com)
education for small business owners . Morningstar (www. morningstar.com)
2 . 3 . Awareness . Continue to encourage Fort Collins residents to support local
business .
■ Focus the Shop Fort Collins First initiative on encouraging residents to make retail purchases in Fort Collins instead of going elsewhere .
■ Continue to raise awareness of the benefits of shopping local with an on-going communications and marketing campaign .
■ Strengthen the City's commitment to local business through its procurement practices and programs to help local businesses secure City contracts .
■ Encourage CSU and other large purchasers to source locally.
TIP Strategies , Inc. Theory Into Practice 17
City of Fort Collins, CO
GOAL 2 : INNOVATION ECONOMY
Enhance the innovation ecosystem and economy
that supports companies at all stages and aligns with TOP zo CITIES FOR INNOVATION , 2010
City goals . Metropolitan Area Patents per
10,000 residents
With Colorado State University , San Jose-Sunnyvale-Santa Clara , CA 54 . 84
PRIORITY PROJECTS federal research labs , and a long Corvallis , OR 29 .21
list of innovative companies , Fort Rochester, MN 26 .45
1 . Reinforce the strength of Fort Collins' Collins has numerous sources of
quadruple helix partnership Burlington-South Burlington , VT 26 .41
innovation , intellectual property , Bremerton-Silverdale , WA 24 .21
2 . Expand RMI 's scope of services and inventions within its city limits .
3 . Northern Colorado Angel Network Boulder, CO 20 . 33
4 . Raise awareness of Fort Collins as As a result, the city has one of the Santa Cruz-Watsonville , CA 19 .59
highest rates of innovation in the
innovation hotbed US , producing 10 patents per Ann Arbor, MI 16 .27
105000 residents . This fact, Boise City-Nampa , ID 15 . 38
SUGGESTED METRICS coupled with the recognition that San Francisco-Oakland-Fremont, CA 14 . 51
■ Technology commercialization entrepreneurship can be a Austin-Round Rock-San Marcos , TX 14 .27
■ New business formation powerful engine of economic Poughkeepsie-Newburgh-Middletown , NY 12 . 31
■ Capital access prosperity, has led the City to Ithaca , NY 12 . 11
■ Wealth creation identify innovation , in both the Rochester, NY 12 .07
2005 Economic Action Plan and Seattle-Tacoma-Bellevue , WA 11 .78
the 2010 City Plan , as a Raleigh-Cary , NC 11 . 12
cornerstone of the Fort Collins economy. Trenton-Ewing , NJ 10 .89
While having these sources of intellectual capital is essential to an innovation economy,
Fort Collins-Loveland , CO 10 . 08
they are not sufficient. The City must also have a culture and support system that Durham-Chapel Hill , NC 9 .83
encourages this intellectual capital to be commercialized , and for that commercialization San Diego-Carlsbad-San Marcos , CA 9 . 67
(ideally) to take place in the city. In addition , it must provide an environment that fosters Source: US Patent office, US Census, TIP Strategies calculations.
TIP Strategies , Inc. Theory Into Practice 11
City of Fort Collins, CO
business formation and expansion . Fortunately, Fort Collins has many of these essential elements . There are , however, significant gaps in its "innovation ecosystem ."
The first is access to capital . In all of Colorado , 89 venture capital deals were funded in 2010 , the large majority of which went to the industrial/energy sector. Of these ,
less than 10 went to Fort Collins companies . Fort Collins is not on the radar screens of most venture capital firms , even the ones in Colorado . To foster the level of
economic activity around the innovation occurring in Fort Collins , companies must have better access to the capital needed to launch and grow their businesses .
The second gap lies in the culture of entrepreneurship in the city . The City and the university should encourage innovators to spin-out companies around their discoveries
and support entrepreneurs once the companies have been formed . While the community does have an entrepreneurial spirit, its reach could be greater, especially among
CSU faculty and students .
The last significant gap is in Fort Collins' ability to retain businesses once they have matured past the start-up phase . Fort Collins has three incubator facilities to support
start-up companies — the Rocky Mountain Innosphere (RMI ) , the Research Innovation Center (RIC) , and the Engines and Energy Conversion Lab (EECL) . It does not,
however, have many sites to accommodate those companies ready to graduate from these incubation facilities . Many of the communities surrounding Fort Collins do —
these communities include Loveland , Longmont, and Greeley — and some of those are willing to incentivize moves . This situation leaves the City at risk for subsidizing ■
start-up businesses and then losing them (once a return on the City's investment would be realized) . Furthermore, as important as retaining companies is, retaining the
entrepreneurial talent itself is more important.
The Quadruple Helix
Strategies the interaction of four pillars in
i . Create a stronger nexus for innovation in both Fort Collins and the Front innovation ecosystems :
Range . i . knowledge institutions
1 . 1 . Quadruple Helix. Foster continuous collaboration between academia , the private sector, the public 2 . enterprises
sector, and non-profits to promote a more entrepreneurial culture and train entrepreneurial leadership
and talent. 3 . government, and
■ Engage the leadership of organizations , enterprises , and institutions that can move forward ideas
and projects to catalyze innovation in Fort Collins and the greater region . 4 . civil society.
z
■ Encourage innovation and collaboration through showcase events , speaker series , and - CLiQ
networking opportunities . "ttp: .cligproject.eu
■ Continue to strengthen and expand Fort Collins' business incubation capacity and programs .
TIP Strategies , Inc. Theory Into Practice 19
City of Fort Collins, CO
■ Promote entrepreneurial education at Poudre School District, Front Range
Community College , and CSU by facilitating the creation of programs that A NEW RMI
focus on entrepreneurial training , technology commercialization , and
business formation . The 2012 EHSP envisions an RMI that moves far beyond business
■ Actively engage CSU students in entrepreneurial activities through student incubation and support. It becomes the centerpiece of Fort Collins'
internships , capstone projects, colloquia and conferences , and business innovation economy. Its role would expand to coordinating industry
plan contests that provide opportunities for interaction with local cluster groups , strengthening the innovation ecosystem , and
entrepreneurs and innovative companies . fostering a more entrepreneurial culture in the community.
■ Interact with other innovative regions world-wide to stay informed of To fulfill the vision , RMI will need additional resources , both
cutting-edge models for innovation . financial and human . Three service areas will be needed to fulfill
1 .2 . Industry Cluster Support. Provide support for industry cluster groups . the mission . These are :
■ Differentiate between existing clusters and growth clusters : Communications & Outreach . Engaging the community to
- Emerging cluster — networking events , evaluation to determine
encourage a more entrepreneurial culture is essential . This entails
sufficient activity to warrant formal cluster organization . public relations to promote innovation-oriented success in the
- Growth cluster — focus on R&D projects and collaboration , community, communications with key audiences , and engagement
commercialization and business formation , industry partners , supply with potential investors . Working with volunteers and mentors is an
chain analysis , and strategic recruitment of key businesses and talent additional component of this task.
to enhance support system for clusters . Industry Clusters . This area will provide administrative support for
- Existing / mature clusters — professional associations or councils , no
the industry clusters ; provide information to cluster managers ,
need to be 501 (c)(3) .
counsel small businesses in cluster areas , and provide overall
■ Incubate nascent groups through coordination of activities , outreach , and management of the cluster initiative .
information .
■ Provide administrative support for cluster groups that need less than full-
Business Assistance and Support. This area will continue to
time support.
provide technical assistance to entrepreneurs and also help
businesses secure capital . It will work closely with CSU Ventures
■ Serve as a resource for cluster managers on best practices and strategies as well as interested students and faculty, with the goal of
for cluster development. commercializing technologies and growing businesses .
■ In partnership with the City, coordinate a challenge grants program to fund
industry cluster projects .
TIP Strategies , Inc. Theory Into Practice 20
City of Fort Collins, CO
■ For select industries , contract or hire industry experts to provide technical
know-how to support commercialization , business formation , and business CASE STUDY : CENTRAL TEXAS ANGEL NETWORK
growth . The Central Texas Angel Network (CTAN ) was founded in 2006
■ Periodically review industry clusters programs and economic data to under the leadership of local entrepreneur Jamie Rhodes with
identify emerging clusters that need administrative support and to support from the Greater Austin Chamber of Commerce . CTAN
determine if existing clusters have reached critical mass and no longer provides funding from $200 ,000 to $2 million through its network of
need administrative support. SEC accredited investors . Each of its investors pay a membership
1 . 3 . Incubation . Continue to provide incubation services to start-ups with a fee to encourage only serious investors to join . The executive
renewed focus on successful funding and exit. director of CTAN carefully screens deals to ensure that high quality,
■ Continue to provide networking and educational opportunities for
investment-ready deals are presented to the network. In addition ,
entrepreneurs through events such as Innovation After-Hours , and the CTAN has created a larger network of other angel investment
Social and Advisory Group for Entrepreneurs (SAGE) . networks in the state of Texas that it can syndicate its deals to and
vice versa .
■ Raise the profile of RMI clients through a stringent application process and
initial screening . For more information , visit: www. centraltexasangelnetwork. com
■ Build a strong network of seasoned entrepreneurs, business service
providers , financing experts , and technical experts willing to volunteer time
to work with the most promising ventures . CREATING AN ENTREPRENEURIAL CULTURE
■ Create a relationship map that provides entrepreneurs with access to Fort 1 . Involve entrepreneurs in leadership and strategy development,
Collins' network of business services, technical know-how, and capital as well as policy development.
sources .
■ Partner with existing training and technical assistance providers to educate 2 . Engage students through leadership training , entrepreneurship
entrepreneurs in the basics of business (see Objective One, Strategy 3- education , and incorporating elements of entrepreneurship in
3. 2) . general curriculum .
1 .4 . Outreach & Exchange. Strengthen ties to innovation-driven communities . 3 . Celebrate successes to reinforce cultural change , build
■ Consider outside members to serve on local boards . momentum for entrepreneurship , and encourage innovation .
■ Actively develop entrepreneurial linkages with other incubators , institutes, - Deb Markley, RUPRI .
and businesses .
TIP Strategies , Inc. Theory Into Practice 21
City of Fort Collins, CO
■ Organize visitations and exchanges to peer communities to share best practices and lessons learned .
2 . Retain , develop, and recruit entrepreneurs and cutting - edge companies that align with Fort Collins ' culture and
values .
2 . 1 . Entrepreneurial Culture. Foster a nurturing entrepreneurial culture that anchors talent and companies in Fort Collins .
■ Support RMI in its activities to promote an entrepreneurial culture (See Objective 2, Strategy 1 - 1. 1 ) .
■ Incorporate entrepreneurs in the Economic Advisory Commission and in the Economic Health Stakeholder Group .
■ Use local media outlets to celebrate entrepreneurial ventures and stories.
■ Showcase local innovations and innovators in community centers including COMMUNITY DEVELOPMENT FINANCIAL
Old Town , the Fort Collins Museum of Discovery , and Foothills Mall . INSTITUTIONS
2 .2 . Access to Capital . Build a robust capital network as part of NoCo Capital by Community Development Financial Institutions (CDFIs) provide
formalizing access to the capital already present in Fort Collins and building
better relationships with the venture community outside of Fort Collins . access to credit to underserved communities . Many CDFIs focus on
small business lending and venture capital investing in low-income
■ Establish a pre-seed fund through monetary and in-kind donations . and minority businesses as well as start-ups .
■ Formalize an angel network in Northern Colorado , and form a syndication
network with other regional angel networks to bolster deal flow. CDFIs create funds through grants , donations , and low-cost loans
from a variety of sources . The two largest sources are the US
■ Actively market qualified Fort Collins-based start-ups to non-local investors Treasury's CDFI Fund and commercial banks who lend to CDFIs to
to get Fort Collins on their radar. Focus on Denver and Boulder investors . receive Community Reinvestment Act (CRA) credit. The EDA also
■ Encourage and support local entrepreneurs in tapping into federal funding provides funding to CDFIs . Starbucks recently announced its Jobs
sources by applying for Small Business Innovation Research (SBIR) for USA program to raise funds for CDFI loan programs .
grants , Small Business Technology Transfer program (STTR) , and other
programs available to entrepreneurs . Venture-oriented CDFIs such as New Mexico Community Capital
and Pacific Community Ventures invest in businesses with high
■ Expand the revolving loan fund seeded by the Section 108 HUD grant by growth potential that will provide market rates of returns and will
seeking funding from organizations such as the US Economic improve the quality of life in underserved areas . Such models could
Development Agency ( EDA) . Consider contracting with a Community be excellent mechanisms for tapping into community capital and
Development Financial Institution to manage the fund .
expanding entrepreneurs' access to credit.
TIP Strategies , Inc. Theory Into Practice 22
City of Fort Collins, CO
2 . 3 . Selective Business Attraction . Work with NCEDC and other community A BUSINESS RECRUITMENT POLICY
partners to recruit those companies vital to the success of Fort Collins' industry
Business recruitment is not the primary focus of Fort Collins'
cluster initiatives .
economic health program . However, a well-targeted recruitment
■ Collaborate with the industry cluster groups to identify important program will help fill specific gaps in the target industry clusters
components of their industries missing in Fort Collins . thereby strengthening the clusters and bolstering the ecosystems
■ Target specific companies that fill supply chain gaps and niches in the target that anchor them to Fort Collins .
industry clusters - Clean Energy, Water Innovation , Bioscience , Technology,
and Uniquely Fort Collins . The recruitment program proposed for Fort Collins would identify
the needs of the target industry clusters not being met by local
■ Be responsive to prospects that mesh well with the culture and values of companies . The economic health office could then approach
Fort Collins. companies that would fill that need and make the case for the
2 .4 . Awareness . Raise awareness of Fort Collins as a hotbed of innovation to company's expansion into the Fort Collins market. The objective of
attract or engage both investors and entrepreneurial talent. this exercise would not be to "steal" or "lure" the company from
another community but rather to provide them with information to
■ Leverage CSU alumni network to communicate with alumni who are justify their expansion into Fort Collins by opening a new office .
entrepreneurs , looking to invest in Fort Collins , or looking to return to Fort
Collins.
■ Collaborate more closely with Metro Denver to raise awareness of the activities occurring in Fort Collins .
■ Partner with entrepreneurship support organizations in the Greater Denver region to market opportunities in Fort Collins to a broader Colorado technology- •
executive talent pool .
■ Market what Fort Collins and CSU are doing regarding technology start-ups to the specialists and executives already in Fort Collins , especially those at
large firms .
2 . 5 . Technology Transfer/ Commercialization . Expand Fort Collins' capacity to support technology commercialization and product development.
■ Work with local manufacturers and companies to create an asset map of the resources and services available in the region to support product development
and early-stage manufacturing .
■ Identify areas of the product lifecycle that Fort Collins does not currently (but should) support with local services .
■ Develop and execute projects and initiatives to address the above gaps .
2 . 6 . Resource Needs. Ensure that companies have the appropriate space to grow within Fort Collins' city limits (see Objective Four, Strategy 2) and the
appropriate talent to support their growth (See Objective 3, Strategy 3).
TIP Strategies , Inc. Theory Into Practice 23
City of Fort Collins, CO
GOAL 3 : TALENT MANAGEMENT
Create a system for talent development, retention and recruitment that responds to and anticipates
employers ' needs .
Fort Collins is fortunate to have a strong labor pool
PRIORITY PROJECTS and a formidable talent magnet in Colorado State llllllllllffii�.� +�
University (CSU ) . The population is young and _
1 . Workforce Development Program well-educated and is naturally attracted to Fort _
2 . Involvement of Colleges of
Collins . With almost 30 ,000 students and 1 , 500 �-� p �
Business & Engineering faculty, CSU creates a constant churn of young ��Irv—Sao
. ..3 . Conference Strategy 'adults and university-related talent. Anecdotally, .AS• W Al 'SUGGESTED METRICS people so want to live in Fort Collins that they are '`
willing to move without a job and accept
■ Employers' perception of ease of employment for positions for which they are over-
recruitment qualified . At first glance , it would seem as though art
F
■ Entrepreneur pipeline under-employment is the only concern regarding ��
■ Civic engagement talent. However, major employers voiced additional ��: "
■ Talent placement concerns . Issues such as skill shortages , 'y
misconceptions about manufacturing jobs , minority
recruitment, and work-readiness of high school /
students are worth addressing before they become significant obstacles for businesses operating in "The image of Manufacturing as dumb,
Fort Collins . dirty, dangerous and disappearing is
Fort Collins' employers , like many employers nationwide , face skill shortages in technical far from accurate. Today,
occupations such as engineers and machinists , as well as less technical occupations such as Manufacturing is smart, safe,
production and team assemblers . These skill shortages affect most manufacturers , whether they are sustainable, and surging. "
semiconductor manufacturers or animal feed producers , and are worrisome in the shadow of an
aging workforce . When baby boomers retire , the skills shortage will be compounded , and programs - The Council on Competitiveness,
to train workers to fill these positions will have difficulty attracting students . The root of students' lack Make: An American Manufacturing Movement
TIP Strategies , Inc. Theory Into Practice 24
City of Fort Collins, CO
of interest in manufacturing jobs is often a misconception of what manufacturing jobs entail . This is a national
challenge , but it can be addressed locally.
While recruiting talent to Fort Collins is generally not a challenge , it is , however, very difficult to attract
minorities and even more difficult to retain them . This matters to those companies who have stringent
diversity requirements to meet. In addition , some employers also commented that the work readiness of high
school students is not sufficient. These issues do not currently have a material impact on employers' abilities
to do business at this time , but these are important trends to understand and monitor. These types of issues
can be detected and addressed early-on by developing a mechanism for greater interaction between
employers , education , workforce , and economic development. -
In addition to challenges voiced by area employers , the available jobs do not necessarily meet the skill level
of the residents . Fort Collins boasts a young , highly-educated workforce that is largely under-employed .
Forty-one percent of the population in the MSA has earned a bachelor degree or higher, yet only 25% of the •
jobs require that level of education . In fact, 65% of the jobs in the MSA require only on-the-job training or —
previous experience . Many households are in the position where one person finds gainful employment, and
the other is unable to do the same . The latter person therefore , chooses a job for which they are over-qualified or is required to look beyond city limits and commute for
employment. While this is a trade-off that many are willing to make for the sake of living in Fort Collins , the result is an untapped well of skill capacity that, if utilized ,
allows the community to prosper economically without having to grow in terms of population .
One contributing factor to the underemployment challenge is that the Fort Collins' labor market does not always offer open access . According to focus groups and -
interviews, young professionals in Fort Collins noted that the community "feels small once you' re in" , but they also commented on the challenges of "breaking in"
professionally. Many young professionals who found jobs quickly in the community were able to do so by virtue of personal and family networks , and many of the
positions were either created for them or were not advertised to the public at-large . The risk of a tight-knit social network as a driver for employment is that newcomers
could be discouraged by their inability to break into existing professional networks . Creating a platform for newcomers , recent graduates , under-employed workers , and
relocated professionals to become engaged with the community is an important element of talent management. It gives younger people — and people moving to the area
in general — an opportunity to establish a social network in the community and improve their career opportunities . In addition , such a platform can provide Fort Collins'
employers with better access to local talent and may reduce the need to recruit talent from outside the community.
Ultimately, the success of an innovation economy lies in the strength of its talent pipeline . A coordinated effort to fill out the talent pipeline will greatly enhance the region 's
innovation ecosystem and entrepreneurial culture .
TIP Strategies , Inc. Theory Into Practice 25
City of Fort Collins, CO
Strategies :
CASE STUDY : NORTHERN KENTUCKY
i . Create and staff a workforce development program . INDUSTRIAL PARK INDUSTRY PARTNERSHIP
1 . 1 . Partnership. Work more closely with Larimer County Workforce Center and A group of about 50 manufacturers in Northern Kentucky have
Workforce Investment Board (WIB) . come together to tackle the perception problem manufacturers face .
■ Encourage the WIB to act as the conduit between employers and area Though manufacturers have independently undertaken initiatives to
educational institutions to identify and bridge skills gaps in the existing influence students' perceptions , they believe a collective approach
workforce . could be more effective .
■ Incorporate Fort Collins' target industries into the Workforce Center's set of The group applied for a $65 , 000 grant from the Kentucky Office of
target industries to bring about closer coordination of training programs and Employment and Training to help implement a plan to address the
emerging industries . shortage of qualified workers in manufacturing occupations . The
■ Promote the Workforce Center's services to businesses and talent across first step of the plan is to survey all the existing manufacturers in the
Fort Collins . region to determine what the job needs are and the core
competencies necessary to fill those positions . The next step will be
■ Incorporate workforce development into economic health programming to determine the various reasons young people are not considering
across the city to promote cross-pollination and collaboration . jobs in manufacturing and to dispel misconceptions .
1 .2 . Data. Collect, analyze , and report workforce data to enhance the community's
The ultimate goal of the program is to develop a talent pipeline that
understanding of its labor force , market, and industry issues.
begins in the high schools , goes through the colleges , and
■ Use the existing BRE survey to collect current and localized information on continues into the companies .
Fort Collins' labor force and labor shed .
■ On a quarterly basis , publish a Fort Collins and Larimer County workforce
report that provides an overview of pertinent labor market information and highlights important accomplishments , programs , and issues in workforce
development.
■ Provide updated labor market information on a quarterly basis at the county and city level that is accessible to the public.
1 . 3 . Training . Engage employers through meaningful participation and support in programs and initiatives aimed at resolving their specific workforce issues and
improving workforce training , including K- 12 education .
TIP Strategies , Inc. Theory Into Practice 26
City of Fort Collins, CO
■ Create a sub-committee of the WIB comprised of employers , education
institutions , workforce development, and the City to discuss on-going CASE STUDY : COLUMBUS, OHIO TALENT INITIATIVES
programs and initiatives as well as cross-cutting issues .
The Columbus Region has a median age of 34 . 7 and is home to
■ Design programs to address the primary issues raised by the sub- approximately 30 colleges and universities with a total enrollment of
committee . more than 120 ,000 students and 20 , 000+ annual graduates . In 2006 , the
■ Coordinate with industry councils to understand and incorporate their Columbus Chamber, in partnership with public and private organizations ,
workforce-related issues (see Objective One, Strategy 1 - 1 . 3) . launched a three-pronged initiative to engage and retain this significant
1 .4 . Youth Engagement. Educate local youth on the wide range of career local talent base .
opportunities available to them locally, with a focus on changing the Columbusinternships .com
perception of manufacturing and heavy industry jobs .
■ Hold annual career days at local high schools that expose students to The Columbus Chamber created a website where college students can
different professions through speakers , videos, factory tours , and obtain meaningful internships with local employers .
shadowing opportunities .
Young Professional Connectivity
■ Organize factory tours that showcase the advanced technologies used
in manufacturing processes and the skills needed to work in that Each week the Columbus Chamber collects events and activities from
environment. Young Professionals' Organizations , corporations , philanthropic
organizations , and community councils to populate an email newsletter.
■ Create an apprenticeship or internship program that would provide In addition to the newsletter, the Chamber staffs a young professionals
hands-on learning experiences for high school students . manager position and its website lists approximately 60 different
■ Coordinate with Front Range Community College ( FRCC) to promote Columbus organizations for young professionals .
opportunities available to high school students to obtain certifications Liveworkplaycolumbus .com
and enhance their work readiness upon graduation .
■ Include program information and resources for local youth on Fort Working with the human resource and recruitment community, the
Collins on-line job board (see Objective 3, Strategy 2-2. 3) . Columbus area Chamber has developed a comprehensive website to
assist Columbus region employers in "selling" the region to prospective
z . Promote opportunities for leadership training , employees .
professional development, and networking .
For more information , visit www.columbus .org/business-
2 . 1 . Civic Engagement. Facilitate greater levels of civic engagement. resources/workforce-development/
■ Continue City Works , Leadership Fort Collins , and Envision : Young
TIP Strategies , Inc. Theory Into Practice 27
City of Fort Collins, CO
Professionals as a means of training future leaders , educating INDEED . COM : OPTIONS FOR JOB & GIG BOARD
them about opportunities to participate in the community, and Fort Collins can promote local employment opportunities by integrating job
engaging them . Coordinate the programs to better define their posting and job search tools from Indeed . com into existing websites . This is a
distinct purposes and/or audiences to create a more robust low-hassle way for the Chamber, City, CVB , and other organizations to engage
leadership development initiative . talent by creating a portal for employers to post jobs and job-seekers to access
■ Encourage emerging leaders to apply for seats on city boards those listings . In addition to adding valuable content across multiple platforms,
and commissions by hosting workshops on what the various each organization can also generate revenue by becoming an access point for job
boards and commissions do and providing information on postings .
which seats are available .
Instant Job SiteTM . The Indeed . com Instant Job Site is a way to add a full job
■ Work with local organizations , businesses , and institutions of search experience to a website , with job listings powered by Indeed .com .
higher education to develop a volunteer clearinghouse to Employers pay a fee to post jobs , and searching for jobs is free to users .
connect emerging leaders with other opportunities to get
involved with the community. JobrolITM . The Jobroll can be added to a site to provide continuously updated job
Create an annual awards program to honor individuals making links . The pay-per-click job links can be targeted to the interests and locations of
■ a difference in the community. the audience .
2 .2 . Professional Development. Provide professional development Job Search Boxes and Text Links . Indeed .com job search boxes can be
opportunities . embedded in the website .
■ In partnership with the WIB , establish an internship and
apprenticeship program that would match interested high
school and college students with local employers . THE CSU ALUMNI NETWORK : BY THE NUMBERS
■ Market CSU and FRCC continuing education programs to Approximately 30,000 students are currently enrolled at CSU , including resident
young professionals through relevant organizations . and non-resident instruction students . The university has approximately 1 ,500
■ Establish a career mentoring program in partnership with a faculty. CSU received more than $300 million in sponsored research in 2010 ,
community partner. ranking the university in the top 3 percent of institutions without a medical school
2 .3 . Local Employment Opportunities . Enhance access to and for research expenditures .
awareness of local employment opportunities . In addition to the significant assets flowing into the community on an annual
■ Launch an on-line , Fort Collins-centric job and gig board to basis , CSU has 184,586 living alumni with 27 geographic alumni groups (4 in
increase connectivity between employers and talent. Link to Colorado and 23 out of state) representing 17 states and 16 common interest
groups .
TIP Strategies , Inc. Theory Into Practice 28
City of Fort Collins, CO
the board from other Fort Collins websites including the City, Chamber, CASE STUDY : ENTREPRENEURIAL ENGAGEMENT AT
Convention & Visitors Bureau , RMI , CSU Alumni Network, and CSU
Career Center. Indeed .com provides a low-cost option for accomplishing THE UNIVERSITY OF TEXAS
this . The University of Texas at Austin ( UT) has embraced innovation as a
■ Encourage employers to post job and internship opportunities on the core component of its culture . Even its branding message reflects this:
Fort Collins job and gig board . "What Starts Here Changes the World". To capitalize on this spirit of
innovation and promote economic progress , UT has strengthened its
■ Create opportunities for newcomers and job-seekers to network with programs to engage student and faculty entrepreneurs and has served
local entrepreneurs and industry leaders . as a resources for entrepreneurs in the state . A number of cross-
Provide educational opportunities and training workshops to support the disciplinary programs and events exist to achieve this :
1099 workforce ( independent contractors) , which has emerged as a
rapidly growing sector. Such opportunities and training should be Texas Venture Labs : acampus-wide initiative to accelerate start-ups
targeted both to workers and the employers contracting with these from UT and the local community as well as create an experience that
transforms graduate students into future entrepreneurs and business
workers .
leaders .
3 . Strengthen the pipeline of entrepreneurial talent .
3 Day Start Uv an entrepreneurship education program designed for
3 . 1 . CSU Alumni Network. Engage the CSU Alumni Network as a key source of university students with an emphasis on learning by doing . The idea is
talent. simple : start tech companies over the course of three days .
■ Partner with the CSU Alumni Association to communicate to alumni Idea to Product Competition : early stage technology commercialization
about the innovation-related events and opportunities in Fort Collins . plan competitions aimed at educating and developing the next
■ Make the Fort Collins job and gig board available to CSU Alumni (See generation of technology entrepreneurs .
Objective 3, Strategy 2-2. 3) .
Entrepreneurs in Residence : seasoned entrepreneurs who serve as
■ Host alumni reception (s) at RMI with regional alumni groups to mentors for students interested in starting businesses . The Office of
showcase what Fort Collins is doing . Technology Commercialization also employs individuals who are
■ Sponsor a CSU Alumni entrepreneurs network to build a strong charged with turning the university's research into start-ups .
connection between RMI and CSU Alumni entrepreneurs , even if they Austin Technology Incubator: a program to provide a "teaching
are not currently located in Fort Collins . laboratory" in applied entrepreneurship for UT-Austin students and to
■ Reach out to successful entrepreneurs and executives who are CSU promote economic development in Central Texas through
Alumni , and invite them to join RMI 's initiatives . entrepreneurial wealth and job creation .
TIP Strategies , Inc. Theory Into Practice 29
City of Fort Collins, CO
3 .2 . CSU Entrepreneurial Talent. Increase the involvement of CSU , in
particular the Colleges of Business and Engineering , as sources of CASE STUDY : SILICON VALLEY COMES TO THE UK
entrepreneurial talent.
The Silicon Valley Comes to the UK program is an invitation-only series
■ Strengthen the existing entrepreneurship program in the College of of events that brings together leading investors , iconic serial
Business, and extend its reach across campus . entrepreneurs , ambitious students , and successful angels from the UK
■ Introduce intensive business formation courses and events to generate with leading Silicon Valley serial entrepreneurs and investors to discuss ,
interest in and momentum for student-led entrepreneurial ventures . debate , create , and fund today's most disruptive internet and green
■ Create a student internship program at RMI to prepare students for technologies .
employment in start-up and young companies . The objective is to inspire students and alumni to consider starting or
■ Continue to explore ways of engaging faculty in technology joining an entrepreneurial business at some point after graduation and to
commercialization and business formation through the revision of foster relationships between the leading entrepreneurs , angels , and
tenure policies to factor in such activities , by educating faculty about investors from Silicon Valley and Europe .
commercialization , and by fostering a more entrepreneurial culture in
general . At the 2011 forum , the movers and shakers from Silicon Valley shared
■ Coordinate continuing education programs in partnership with RMI and
their views about the new and innovative business models they see as
the SBDC to provide a full range of education opportunities to University the most disruptive across the Gaming and the Consumer Internet
entrepreneurs . sectors .
3 . 3 . Local Entrepreneurial Talent. Leverage the knowledge base of seasoned For more information , visit www.svc2uk. com/
entrepreneurs in Fort Collins .
■ Continue to recruit volunteer advisors who are entrepreneurs to
participate in RMI .
■ Create networking opportunities for new entrepreneurs to interact with seasoned entrepreneurs .
■ Host a speaker series that features seasoned entrepreneurs talking about lessons learned and topics of interest.
4 . Use tourism and visitation as a talent and business outreach strategy to support industry cluster development .
4 . 1 . Community Portal . Update the Convention and Visitors Bureau (CVB) website to also serve as portal for talent and businesses interested in relocating to Fort
Collins .
■ For individuals looking to relocate to Fort Collins , include links to relocation information on the Chamber website and to job searching tools .
TIP Strategies , Inc. Theory Into Practice 10
City of Fort Collins, CO
■ For entrepreneurs , include links to RMI and www. FortCollinslnnovation .com .
■ For businesses , include links to Economic Health Office and NCEDC .
4 .2 . Targeted Conference Strategy. Coordinate a conference strategy that would bring key talent and businesses to Fort Collins .
■ Partner with industry cluster managers , the CVB and CSU Conference Services to identify conferences and events as well as groups of professionals and
businesses that would help strengthen Fort Collins' industry clusters .
■ Recruit conferences to Fort Collins , or plan conferences or symposia that would appeal to targeted groups of professionals and businesses , and use these
conferences as opportunities to showcase Fort Collins to these targeted audiences.
4 . 3 . Industry Tours. Organize industry-specific tours to increase private sector support for research in Fort Collins
■ Work with CSU research centers , industry cluster managers , and federal labs to identify potential industry partners .
■ Invite potential partners to Fort Collins to showcase how their research and development agendas can be advanced by the research capabilities of Fort
Collins organizations and institutions . •
■ Create a database of the potential partners in the CRM system (see Goal 1, Strategy 1 — 1 . 2) and ensure that the relationships are tracked in the system .
■ Provide support to appropriate parties in following up with partners on a regular basis through phone calls , emails , and eNewsletters .
4 .4 . Downtown Hotel & Conference Center. Support the development of a blue-ribbon hotel and conference center in or adjacent to downtown (see Goal 4,
Strategy 1 ) .
TIP Strategies , Inc. Theory Into Practice 31
City of Fort Collins, CO
GOAL 4 : COMMUNITY CULTURE / QUALITY OF PLACE
Develop community assets and infrastructure SELECT FORT COLLINS HONORS & AWARDS
necessary to support the region 's employers and One of America's 20 Most Economically Vibrant College Towns :
talent , TheAtlanticCities.com - September 2011
The City of Fort Collins ranks at the top Ranked 5th Best Places for Business and Careers :
PRIORITY PROJECTS of many lists, including : "Most Forbes - June 2011
Economically Vibrant College Towns; " One of the To 10 Cities Adopting Smart Grid Technology:
1 . Hotel Conference Center "Best Bicycle Cities ;" "'Smarter Cities' p p g ��
2 . Business Park Feasibility y U .S. News and World Report - May 2011
for Energy;" and "Best Places to Live . "
3 . Revitalization of Foothills Mall The city enjoys a scenic setting in the Top Colorado City for Job Growth , Fort Collins-Loveland :
SUGGESTED METRICS
foothills of the Rocky Mountains , as well 2011 Best Cities for Job Growth , newgeography.com - May 2011
as a moderate climate that attracts avid Named 5th Most Educated City in the Country
■ Investment in target areas and athletes , families , entrepreneurs , Portfolio.com - December 2010
catalyst projects students , and retirees . The community
■ Residential units , commercial also boasts amenities such as an One the Top 25 Best Places to Retire :
and industrial space extensive system of parks and trails , CNNMoney.com - September 2010
award-winning schools , a large research One of the Top 10 Best College Towns :
university, and a thriving arts and music Small-Sized Cities Category, USA Today - September 2010
scene . These community assets and amenities are invaluable in creating the quality of
place that supports a vibrant economy. One of the Top Six 'Smarter Cities' for Energy:
NRDC - August 2010
The City of Fort Collins is committed to maintaining and improving its community assets
and amenities in recognition of their importance to economic health . The City's 6th Best Place to Live in the Nation :
investment in the Mason Corridor Bus Rapid Transit (BRT) system and the LEED Money Magazine - July 2010
Platinum Fort Collins Museum of Discovery are two examples of this commitment. In Ranked 4th Best Places for Business and Careers :
addition , recent capital improvement initiatives have enabled the City to build Northside Forbes - April 2010
Atzlan Center, acquisition of Soapstone Open Space , Gateway Park, Edora Skate Park,
TIP Strategies , Inc. Theory Into Practice 32
City of Fort Collins, CO
the new City office building at 215 N . Mason , the Downtown Transit Center, and the Civic Center Parking Structure . Funds were also used for numerous street
improvements , to improve Edora Pool and Ice Center, and to construct a new Horticulture Center. The City has also identified areas for infill and redevelopment and
continues to enhance the physical and natural environment of Fort Collins . This continuous investment in community assets and amenities has paid high dividends .
Amenities retain and attract talented workers and innovative companies . However, for companies , expanding in and relocating to Fort Collins can be difficult, both
because of the scarcity of larger commercial and industrial space and because of the perceived nature of the development approval process . This poses a threat to the
tax base and ultimately to fiscal sustainability . Investment in a "grow-your-own" strategy for economic development will only be rewarded if local employers possess both
the capacity and desire to grow within the city limits .
TIP Strategies , Inc. Theory Into Practice 33
City of Fort Collins, CO
Strategies : CATALYST PROJECTS
One of the City's primary roles in supporting the economic health of Fort
i . Focus on community improvement by encouraging the Collins will be identifying and advancing projects that will augment the
development of vibrant business districts, commercial assets and amenities of the community and stimulate private investment
nodes, and commercial corridors through the use of in targeted areas . Below is a list of select projects that have recently
catalyst projects and an economic development toolbox . been completed , are underway, and are planned .
1 . 1 . Targeted Infill & Redevelopment. Identify specific areas to target for infill Recently Completed :
and redevelopment opportunities . ■ Rocky Mountain Innosphere
Hold workshops for each target area with land owners and developers to • Fort Collins Museum of Discovery
■ craft a common vision for the area , define desirable outcomes , and • Soapstone Prairie Natural Area
identify potential catalyst projects . • Fort ZED 5 Megawatt Jumpstart Demonstration Project
■ Linden Street Improvements
■ Translate the vision into a viable blueprint that establishes a plan for ■ North College Marketplace
achieving the vision . Underway:
■ Continue to assess the City's regulatory framework to ensure it is • Fort ZED
supportive of desired development. • Mason Corridor Bus Rapid Transit
■ Redevelopment of Foothills Mall
■ Ensure that land use policies encourage high density uses and foster ■ North College Improvements
high-quality development. Planned or Potential :
■ Develop specialized toolsets using special financing districts , overlay ■ Downtown Hotel & Conference Center
districts , and other mechanisms to encourage the implementation of the ■ Bike Library Alternatives
city's vision for each targeted area . (See Economic Health Toolbox on ■ Jefferson Street Alternatives
following page) . ■ South Transit Center
■ Continue to participate in public-private partnerships that facilitate
■ Mountain Vista Employment Center
significant infrastructure improvements and quality redevelopment Targeted Areas :
projects . Mason Corridor
■ Harmony Road Corridor
■ Encourage the expansion or relocation of business in targeted ■ North College Corridor
development areas to stimulate commercial activity. ■ South College Corridor
■ Downtown
■ Interstate 25 Gateways
TIP Strategies , Inc. Theory Into Practice 34
City of Fort Collins, CO
■ Reach out to the developer and broker communities to communicate the City's vision for those
areas and how the City can participate . ECONOMIC HEALTH TOOLBOX
1 .2 . Catalyst Projects . Focus on strategic projects that inspire private sector response in the target Special Financing Districts
areas .
Tax Increment Financing
■ Identify anchor projects that can bring in the type of traffic and uses needed to catalyze General Improvement District
development and realize the vision in the target area . Special Improvement District
■ Work with the Economic Health Stakeholder Group ( See Implementation Section, Role #2) to Metropolitan Improvement District
prioritize list of catalyst projects . Business Improvement District Public
■ Develop a work plan for the projects of highest priority that includes tasks , a timeline , resource Improvement Fee
needs , and expected outcomes.
Low- Interest Capital
■ Create a financing plan that leverages available public sector sources with private sector funds.
Private Activity Bond
■ Manage the project from start to finish to ensure its implementation . Section 108 Loan Guarantee
2 . Preserve and enhance the features of Fort Collins' culture and economy Tax Rebates
that make it unique .
Use Tax Rebate
2 . 1 . Bike Culture. Continue to support and enhance Fort Collins' bike culture and cycling industry. Personal Property Tax Rebate
■ Continue to support the development of Fort Collins as a destination for bicycle-oriented visitors
through cultural events , sporting events , and tourism products . For Low to Moderate Income Areas /
Individuals
■ Leverage business opportunities that arise from Fort Collins' bike culture as a means of
expanding the Uniquely Fort Collins industry cluster. New Market Tax Credit
2 .2 . Craft Brewing . Leverage the presence of the breweries in Fort Collins to grow the craft brewing Affordable Housing Fund
industry and attract visitors . HOME Investment Partnership Grant
Community Development Block Grants
■ Support the creation of a craft brewing industry showcase that focuses on the business of Section Community
Loan Guarantee
brewing and builds Fort Collins reputation as a leader in the industry .
■ Integrate water conservation efforts with the craft brewing industry . Source: City of Fort Collins.
2 . 3 . Regional Destination . Reinforce Fort Collins' position as a regional center.
TIP Strategies , Inc. Theory Into Practice 35
City of Fort Collins, CO
■ Continue the refinement of a retail strategy to position Fort Collins as a regional retail center, and prioritize redevelopment opportunities for retail in targeted
investment zones .
■ Include projects on the catalyst project list that add to the recreation and entertainment opportunities in Fort Collins that draw regional visitors .
■ Be supportive of the regional healthcare providers and higher education institutions in Fort Collins in delivering high quality services .
3 . Ensure that companies in Fort Collins have options for expansion and relocation within the city limits .
3 . 1 . Needs Assessment. Conduct a needs assessment to determine types of space that will most likely be in demand .
■ Collaborate with CSU , RMI , and the regional development community to understand what types of commercial and industrial space are available , what is
currently in demand , and what the most promising companies are likely to need .
■ Work with the industry cluster managers to identify typical space requirements needed to support industry clusters .
■ Survey clients of RMI , the CSU-based Engines and Energy Conversion Lab (EECL) , and the CSU-based Research Innovation Center ( RIC) to understand
what their future needs will likely be .
■ Aggregate and present this information to the City Council , community leadership , and local land owners and developers to inform them of the likely short-
term and long-term needs of Fort Collins' businesses .
3 .2 . Sites Inventory. Work with the broker community to create and maintain an inventory of available space in Fort Collins that meets the above criteria .
■ Partner with private property owners to market their available space to companies looking to expand or relocate in Fort Collins .
■ Assist the brokers in identifying promising tenants within Fort Collins industry clusters .
■ Share information with prospects and business assistance clients on what sites are available .
■ Update the list monthly.
TIP Strategies , Inc. Theory Into Practice 36
City of Fort Collins, CO
3 . 3 . Feasibility Evaluation . If available space is not adequate to meet long -term
goals for business growth and economic diversification , evaluate feasibility of
establishing a new technology park or parks in City's Growth Management
Area (GMA) .
Potential sites for parks include an Innovation Park that would connect the
■ � ,
EECL and RMI , the Prospect Technology Park on the 100 acres of � _
university-owned land with 1 -25 frontage , and a site in the Mountain Vista
area .
Preserve potential sites as future employment centers through zoning and
land-use policies and possibly land banking .
4 . Monitor the business and development climate to ensure
Fort Collins ' ability to nurture business .
4 . 1 . Development & Business Assistance. Support the predictability and
transparency of the development and business assistance process .
■ Develop a clear incentives policy that outlines the use of the City's
economic health tool box.
■ Work with representatives of the local business and development •
community to gather input on the development review process , and work
closely with the City Council to continue to help make the development
approval process as predictable and transparent as possible . r,
■ Continue to benchmark the local permitting process against similar
processes in neighboring communities .
■ Continue to shepherd companies through the development process as ',
needed . 5 "
■ Publicize the existing outline of the development process to brokers ,
developers , and the community-at-large , and enhance the outline where
necessary.
■ Encourage high quality development and redevelopment by addressing any issues through continuous improvement.
TIP Strategies , Inc. Theory Into Practice 37
City of Fort Collins, CO
4 .2 . Policy Analysis. Advocate for economic health interests in government policies and programs that impact the business climate .
■ Create input mechanisms for the business community to provide continuous feedback on business climate issues .
■ Communicate with elected officials on key issues .
■ Seek opportunities to integrate economic health objectives into City policies and programs to improve the business climate .
■ Create a culture of empowerment that adapts rapidly and cost efficiently in response to the changes in the business environment.
5 . Continue to foster arts and culture as an economic driver .
5 . 1 . Creative Industry Support. Increase and improve opportunities for learning and expanding creative industries in Fort Collins .
■ Encourage partnerships between educational , cultural , and business institutions that create opportunities .
■ Expand opportunities for arts education programming and
participation for youth and adults . THE ARTS INCUBATOR OF THE ROCKIES (AIR )
■ Support the Arts Incubator of the Rockies as a means of AIR will provide education , resources , and support to increase the
strengthening creative enterprises . economic viability of the region's artist and arts organization . It will also
5 .2 . Arts & Culture Promotion . Promote visibility of the Arts and Culture . offer administrative services , professional resources , and gallery and
■ Showcase the creative industries of Fort Collins through events such performance spaces to students and professionals to assist them in
as Bohemian Nights and New West Fest. launching and sustaining their careers in creative industries . AIR plans
to serve communities throughout the Intermountain West through new
■ Provide opportunities for local artists to display their works in public technologies and distance learning opportunities .
spaces across the City.
■ Seek opportunities for Fort Collins artists to reach national and even AIR will be housed in the Carnegie Library Building in Downtown Fort
international audiences . Collins . It is a partnership between Beet Street, the City of Fort Collins
Cultural Services Department, and the Leadership , Entrepreneurship,
■ Continue and support active arts and entertainment such as Advocacy, and Performance Institute for the Arts (LEAP) at CSU .
Streetmosphere and Beet Street.
5 . 3 . Incubation . Leverage the Arts Incubator of the Rockies (AIR) to enhance For more information , http://airartsincubator.org/
the creative sector and foster a more creative business climate .
■ Encourage AIR to develop a "Big Thinking" facility that provides free form space for collaborative interdisciplinary teams to meet and brainstorm .
■ Assist AIR in developing a curriculum designed to encourage non-creative industry to leverage the benefits of the creative thought process .
TIP Strategies , Inc. Theory Into Practice 31
City of Fort Collins, CO
5 .4 . Art in Public Places. Expand the role of Art in Public Places .
■ Encourage the use of art as a way-finding tool .
■ Develop a mechanism for making the program available as a service to private development.
6 . Improve the delivery of high quality early childhood education and )r -' �i'' � i " ' '
other services to support working families .
6 . 1 . Support for Childcare Providers . Work with the Fort Collins small business support
network to tailor programs for childcare providers .
■ � ;s r
Partner with the appropriate agencies , and prepare information in the form of a planning
guide to educate interested parties on how to start a child care facility, applicable
regulatory requirements , funding opportunities , and links to other child care resources . ;
Introduce training programs and technical support services specifically for childcare 1
providers and family child care homes .
■ Incentivize inclusion of childcare facilities in affordable housing , transit-oriented
developments , and employment centers .
6 .2 . Access to Capital . Make funding available to support childcare-oriented businesses .
■ Consider childcare businesses as allowable applicant for Section 108 Loan Program .
■ Allow funds in TIF districts to be used for the development of childcare facilities .
■ Pursue state and federal funding sources such as the Community Development Block Grant (CDBG) to provide capital and leverage private investment to
support the expansion and development of childcare facilities .
6 . 3 . Support Services. Support a needs assessment and gap analysis to identify missing support services in the community.
■ Conduct a needs assessment to better understand the challenges faced by Fort Collins' working families .
■ Identify any gaps in the social safety net, including access to affordable housing , training , health insurance , and transportation .
■ Develop strategic initiatives and programs to fill these gaps.
TIP Strategies , Inc. Theory Into Practice 39
City of Fort Collins, CO
IMPLEMENTATION
The 2012 Economic Health Strategic Plan (EHSP) is an ambitious plan that builds upon both the 2005 Economic Action Plan and the Plan Fort Collins comprehensive
plan . Though ambitious , the objectives and strategies laid out in this plan are realistic and manageable . In keeping with the broader goals of the community, they also
have the ability to be transformative . For this to occur, the City must embrace an organizational structure that will strengthen its capacity for economic initiatives , track its
progress towards implementation , and monitor its strategies .
Organizational Structure
The Economic Health Office ( EHO) , charged with managing economic health activities , includes the economic advisor, communications manager, and the redevelopment
program administrator. This is a lean staffing structure . In comparison , Fort Collins' peer communities have a staff of 6 to 10 employees devoted to these programs . With
its current staffing , the EHO has little extra capacity to take on new initiatives . In order to implement the 2012 EHSP, the EHO should partner with other departments
within the City that are working on issues that affect economic health and enhance relationships with community service providers . This will allow the City of Fort Collins to
leverage its resources devoted to the implementation of the EHSP .
Within the City of Fort Collins , many departments - from transportation to planning to waste management to purchasing - are managing projects and programs that affect
the economic health of the city. The EHO should forge relationships with staff in these various departments in order to integrate the economic health initiatives across the
organization .
In addition , Fort Collins is fortunate to have multiple service providers that can take the lead on many of the initiatives with the City playing a more "behind the scenes"
role. There are approximately 15 full-time employees working in organizations related to economic development, including NCEDC , the Chamber, RMI , the WIB , the CVB ,
the Poudre River Public Library, and the SBDC. By forging stronger, formal partnerships with these organizations , the City of Fort Collins can leverage its resources and
free City staff to focus on strategic initiatives . This move would also have the added benefit of unifying the efforts of all partners under a single vision and set of objectives.
This , in turn , will expand the capacity of the City to move its economic health program beyond the basics of business retention , expansion , and creation .
The City of Fort Collins should formalize partnerships with memoranda of understanding and in some cases through contracts with organizations to provide economic
health services . Many of the existing service providers have additional funding sources to supplement City funding . They also already have or are in a position to build the
expertise needed to create more robust basic programs . Under this new model , the City will need to define its role and the role of its service providers in administering the
economic health program . Our recommendations for the role of the City are on the following pages .
TIP Strategies , Inc. Theory Into Practice 40
City of Fort Collins , CO
The Role of the City of Fort Collins in Economic Health
1 . Manager: through policy , partnerships , and leadership ,
ensure the implementation of the EHSP and the provision PROPOSED ORGANIZATIONAL STRUCTURE OF THE ECONOMIC
of basic economic health programs . HEALTH OFFICE
■ Create a concrete scope of work, procure
services, and structure copeMOU and contracts with The new Economic Health Office will be one of three legs of the Sustainability Services Area ,
service providers for business creation , along with Environmental Health and Social Sustainability. It will have three divisions :
attraction , retention , and expansion services . Development Assistance , Business Assistance , and Communications. These divisions will be
assisted by the EHSP Implementation Team , Catalyst Project Teams, and contracted service
■ Monitor contracts and evaluate performance of providers to manage the day-to-day activities associated with the on-going economic health
service providers . programs . The Economic Health Stakeholder Group will provide input to the EHO to guide the
■ Create an EHSP implementation team choice and prioritization of catalyst projects .
composed of City staff from relevant
departments and representatives from service
providers who will be charged with responsibility
for implementing specific strategies . Call the Economic Health
team together at regular intervals to report on Stakeholder Group
progress , identify obstacles to implementation ,
and jointly craft solutions . r
1 . EHSP Implementation Team
■ Monitor the implementation of the EHSP through 2. Project Teams
a set of discrete metrics (see Implementation 3. Service Providers
Matrix) .
2 . Convener: Create an Economic Health Stakeholder
Group (EHSG) . This group would provide a platform for
collaboration between parties directly involved with
shaping the economic future of the city. Membership would include :
a . private sector representation from the technology sector, healthcare , retail , tourism , and from small businesses
b . foundations and non-profits
c. CSU and FRCC
TIP Strategies , Inc. Theory Into Practice 41
City of Fort Collins, CO
■ Hold quarterly meetings to discuss collaboration opportunities , catalyst projects , and strategic initiatives needed to realize the economic health vision of Fort
Collins . The group should identify action items and assign responsibility to group members to ensure realization of priority projects . The City should provide
administrative support.
■ Identify and prioritize catalyst projects (See Objective 4, Strategy 3-3. 2) .
■ Create an online forum for continuous dialogue among the EHSG members .
3 . Champion : advocate for policies and programs at the City that promote the economic health of Fort Collins .
■ Communicate to city staff and elected officials the importance of the economic health program , through workshops and newsletters .
■ Seek economic opportunities related to City policies and programs , particularly as they relate to sustainability.
■ Monitor the development process to ensure that it supports business expansion , retention , and formation .
4 . Catalyst: support projects through the economic development toolbox.
■ With the Economic Health Stakeholder Group , devise and maintain a list of priority catalyst projects with clearly defined vision and goals for the project as it
relates to the City's over-all vision .
■ Identify the appropriate partners for the project and form a project team charged with moving the project forward .
■ Maintain a "major projects" list that tracks progress and reports activities .
■ Cultivate connections with the developer and broker community, and establish close working relationships .
5 . Strategic Partner: assist developers and businesses to navigate the City's development and economic assistance processes .
■ Educate developers and businesses about services and programs available to them .
■ Serve as a resource for developers of projects in targeted development areas and for businesses expanding or growing in Fort Collins .
6 . Communicator: communicate to residents and elected officials the importance of economic health programs and the notable activities of the EHO .
■ Continue to use the Economic E-Newsletter to feature stories on various economic health initiatives within the City.
■ Create a module for Leadership Fort Collins to discuss the basics of economic development, how economic development is "done" in Fort Collins , and why
it is important.
■ Use local electronic and print media as communications partners for reaching residents and educating them about economic development and for building
awareness of and support for economic health initiatives .
TIP Strategies , Inc. Theory Into Practice 42
City of Fort Collins, CO
7 . Reporter: report progress , performance , successes .
■ Track performance metrics and outcome measures to understand the success of the City's economic health initiatives and the health of the City's economy,
in general .
■ Create a standard report card to be updated annually that would make key data and findings available to the general public (and that can be integrated into
the existing Community Scorecard ) .
■ Publicize successes from economic health initiatives , as well as entrepreneurial ventures , to businesses and residents of Fort Collins .
Next Steps
Upon the adoption of the 2012 EHSP by the City Council , the City will initiate the implementation process . The steps for initiating the process are as follows :
1 . Form the EHSP implementation team as outlined on p . 44 .
2 . Host an economic forum in collaboration with community partners to roll-out the EHSP and draw in stakeholders for implementation .
3 . Designate a team leader for each strategy.
a . Evaluate resources needed to implement each strategy.
b. Create a work plan that prioritizes strategies , sets performance targets , and outlines what, if any, additional resources will be needed .
4 . Establish regular dates for the implementation team to meet.
5 . Adopt mechanisms and tools for tracking implementation progress , sharing information , and communicating .
TIP Strategies , Inc. Theory Into Practice 43
City of Fort Collins , CO
Implementation Matrix
An implementation tracking tool was created in Microsoft Excel to allow the EHO to assign responsibility and a target completion date as well as track the status . A copy
of this tool is provided below.
We"Im, WFITTIROMW
1 : Business Support Enhance Fort Collins' business retention and expansion program .
1 : Business Support Continue to expand the visitation program to the city's largest
employers
1 : Business Support Establish and maintain relationships with at least the top 20
largest employers in Fort Collins to keep a direct line open to the
business community.
1 : Business Support City officials should visit these employers annually to understand
their economic health , ascertain any needs, and identify ways the
City can help.
1 : Business Support For those employers with headquarters located outside of Fort
Collins, establish relationships by meeting face to face with
executives from the headquarters, either in their home office or
on a trip to Fort Collins .
1 : Business Support Continue to expand the reach of the employer survey, and
coordinate with NCEDC to produce county-wide results.
1 : Business Support Establish and maintain a database of existing businesses in Fort
Collins using Sales and Use Tax licenses . Revise the application
form to include information useful for the BRE program , such as
number of employees , email address of contact, and applicable
North American Industry Classification System (NAICS) code.
1 : Business Support Use this database to populate a web-based system that can be
shared between the City, NCEDC, and the Chamber. Examples
of such systems include Synchronist OpMgr, Executive Pulse,
ACT! , and SalesForce.com .
1 : Business Support Include questions on the survey for employers regarding their
attitude toward the business climate , talent availability, and
workforce quality in Fort Collins .
TIP Strategies , Inc. Theory Into Practice 44
City of Fort Collins , CO
Quarter Year Lead Staff Objective Strategy •
1 : Business Support Administer an online survey to the database of employers on an
annual basis .
1 : Business Support Conduct regular visits to at least 40 businesses each year;
schedule in-person interviews to ask detailed questions about
business needs.
1 : Business Support Compile the results of the survey and key findings from the visits
into an annual report on the state of Fort Collins' businesses and
the overall business climate . Flesh out any issues that arise with
facts and data that provide readers with information on the
current state of affairs .
1 : Business Support Create formal response mechanisms , such as a rapid response
team , to address the needs of any employer facing closure or
relocation outside of Fort Collins . The team should be composed
of representatives from the various economic development
stakeholders that have the ability and authority to directly address
the needs of the employer.
1 : Business Support In collaboration with community partners, establish industry
councils for broad industry groups such as manufacturing ,
healthcare , and technology.
1 : Business Support Hold regular meetings to provide forums for communication .
1 : Business Support Identify cross-cutting issues that affect the sector.
1 : Business Support Craft solutions, monitor the issues , and track progress towards
addressing the issues.
1 : Business Support Establish a business appreciation program that recognizes
existing businesses in the community.
1 : Business Support Participate in the Colorado Companies to Watch program .
1 : Business Support Develop an annual event to recognize existing businesses in the
community.
1 : Business Support Develop an on-going program to recognize companies based on
their anniversary (e .g . 5, 10, 20 , 30 , and 50 years) .
TIP Strategies , Inc. Theory Into Practice 45
City of Fort Collins , CO
Quarter Year Lead Staff Objective Strategy / Action
1 : Business Support Create stronger connections between components of Fort
Collins's small business support system .
1 : Business Support Institute a coordinated small business support network by
fostering more interaction between small business service
providers including the Chamber, SBDC , the Poudre River Public
Library's Business and Non-Profit Center, Be Local Northern
Colorado, Arts Incubator of the Rockies (Beet Street) , and others .
1 : Business Support Hold periodic meetings of these stakeholders to plan or share
calendars of events, discuss ideas and issues , and identify ways
to better serve the small business community of Fort Collins .
1 : Business Support Identify barriers to starting a business in Fort Collins, and work
with the appropriate entities to alleviate those barriers .
1 : Business Support Coordinate a communications and outreach effort to inform the
small business community of the resources available to them .
1 : Business Support Fill gaps in services to ensure that small businesses have access
to the services and resources that they need .
1 : Business Support Expand the Business and Nonprofit Center's information
clearinghouse to provide sophisticated , high quality industry and
market information to small businesses and entrepreneurs.
1 : Business Support Strengthen the capacity of the SBDC to provide the small
business community with one-on-one counseling .
1 : Business Support Establish a more comprehensive technical assistance and
training program that offers workshops and training series for
basic and advanced education for small business owners .
1 : Business Support Continue to encourage Fort Collins residents to support local
business .
TIP Strategies , Inc. Theory Into Practice 46
City of Fort Collins , CO
Quarter Year Lead Staff Objective Strategy / Actione`
1 : Business Support Focus the Shop Fort Collins First initiative on encouraging
residents to make retail purchases in Fort Collins instead of going
elsewhere .
1 : Business Support Continue to raise awareness of the benefits of shopping local
with an on-going communications and marketing campaign .
1 : Business Support Strengthen the City's commitment to local business through its
procurement practices and programs to help local businesses
secure City contracts .
1 : Business Support Encourage CSU and other large purchasers to source locally.
2: Innovation Expand the Rocky Mountain Innosphere's role as the nexus for
innovation in both Fort Collins and the Front Range .
2: Innovation Foster continuous collaboration between academia , the private
sector, the public sector, and non-profits to promote a more
entrepreneurial culture and train entrepreneurial leadership and
talent.
2: Innovation Engage the leadership of organizations, enterprises, and
institutions that can move forward ideas and projects to catalyze
innovation in Fort Collins and the greater region .
2: Innovation Encourage innovation and collaboration through showcase •
events , speaker series , and networking opportunities.
2 : Innovation Continue to strengthen and expand RMI 's business incubation
program .
2 : Innovation Promote entrepreneurial education at Poudre School District,
Front Range Community College , and CSU by facilitating the
creation of programs that focus on entrepreneurial training ,
technology commercialization , and business formation .
2: Innovation Actively engage CSU students in entrepreneurial activities
through student internships, capstone projects , colloquia and
conferences, and business plan contests that provide
opportunities for interaction with local entrepreneurs and
innovative companies.
TIP Strategies , Inc. Theory Into Practice 47
City of Fort Collins , CO
Quarter Year Lead Staff Objective Strategy / Actiop
2: Innovation Interact with other innovative regions world-wide to stay informed
of cutting-edge models for innovation .
2: Innovation Provide support for industry cluster groups .
2: Innovation Differentiate between types of clusters : emerging , growth ,
existing .
2: Innovation Incubate nascent groups through coordination of activities ,
outreach , and information .
2: Innovation Provide administrative support for cluster groups that need less
than full-time support.
2: Innovation Serve as a resource for cluster managers on best practices and
strategies for cluster development.
2: Innovation In partnership with the City, coordinate a challenge grants
program to fund industry cluster projects .
2: Innovation For select industries , contract or hire industry experts to provide
technical know-how to support commercialization , business
formation , and business growth .
2: Innovation Periodically review industry clusters programs and economic data
to identify emerging clusters that need administrative support and
to determine if existing clusters have reached critical mass and
no longer need administrative support.
2: Innovation Continue to provide incubation services to start-ups with a
renewed focus on successful funding and exit.
2: Innovation Continue to provide networking and educational opportunities for
entrepreneurs through events such as Innovation After-Hours ,
and the Social and Advisory Group for Entrepreneurs (SAGE) .
2: Innovation Raise the profile of RMI clients through a stringent application
process and initial screening .
TIP Strategies , Inc. Theory Into Practice 48
City of Fort Collins , CO
Quarter Year Lead Staff Objective Strategy / Actiop
2: Innovation Build a strong network of seasoned entrepreneurs, business
service providers, financing experts , and technical experts willing
to volunteer time to work with the most promising ventures .
2: Innovation Create a relationship map that provides entrepreneurs with
access to Fort Collins' network of business services , technical
know-how, and capital sources.
2: Innovation Partner with existing training and technical assistance providers
to educate entrepreneurs in the basics of business.
2: Innovation Strengthen ties to innovation-driven communities .
2: Innovation Consider outside members to serve on local boards.
2: Innovation Actively develop entrepreneurial linkages with other incubators,
institutes , and businesses .
2: Innovation Organize visitations and exchanges to peer communities to share
best practices and lessons learned .
2: Innovation Retain , develop, and recruit entrepreneurs and cutting-edge
companies that align with Fort Collins' culture and values .
2: Innovation Foster a nurturing entrepreneurial culture that anchors talent and
companies in Fort Collins.
2: Innovation Support RMI in its activities to promote an entrepreneurial
culture .
2: Innovation Incorporate entrepreneurs in the Economic Advisory Commission
and in the Economic Health Stakeholder Group.
2: Innovation Use local media outlets to celebrate entrepreneurial ventures and
stories .
2: Innovation Showcase local innovations and innovators in community centers
including Old Town , the Fort Collins Museum of Discovery, and
Foothills Mall .
TIP Strategies , Inc. Theory Into Practice 49
City of Fort Collins , CO
Quarter Year Lead Staff Objective Strategy / Action-
2: Innovation Build a robust capital network as part of NoCo Capital by
formalizing access to the capital already present in Fort Collins
and building better relationships with the venture community
outside of Fort Collins.
2: Innovation Establish a pre-seed fund through monetary and in-kind
donations.
2: Innovation Formalize an angel network in Northern Colorado, and form a
syndication network with other regional angel networks to bolster
deal flow.
2: Innovation Actively market qualified Fort Collins-based start-ups to non-local
investors to get Fort Collins on their radar. Focus on Denver and
Boulder investors .
2: Innovation Encourage and support local entrepreneurs in tapping into
federal funding sources by applying for Small Business
Innovation Research (SBIR) grants, Small Business Technology
Transfer program (STTR) , and other programs available to
entrepreneurs.
2: Innovation Expand the revolving loan fund seeded by the Section 108 HUD
grant by seeking funding from organizations such as the US
Economic Development Agency ( EDA) . Consider contracting with
a Community Development Financial Institution to manage the
fund .
2: Innovation Work with NCEDC and other community partners to recruit those
companies vital to the success of Fort Collins' industry cluster
initiatives.
2: Innovation Collaborate with the industry cluster groups to identify important
components of their industries missing in Fort Collins .
2: Innovation Target specific companies that fill supply chain gaps and niches
in the target industry clusters - Clean Energy, Water Innovation ,
Bioscience, Technology, and Uniquely Fort Collins.
2: Innovation Be responsive to prospects that mesh well with the culture and
values of Fort Collins .
TIP Strategies , Inc. Theory Into Practice 50
City of Fort Collins , CO
Quarter Year Lead Staff Objective Strategy / Actionim'
2: Innovation Raise awareness of Fort Collins as a hotbed of innovation to
attract or engage both investors and entrepreneurial talent.
2: Innovation Leverage CSU alumni network to communicate with alumni who
are entrepreneurs, looking to invest in Fort Collins , or looking to
return to Fort Collins .
2: Innovation Collaborate more closely with Metro Denver to raise awareness
of the activities occurring in Fort Collins .
2: Innovation Partner with entrepreneurship support organizations in the
Greater Denver region to market opportunities in Fort Collins to a
broader Colorado technology-executive talent pool .
2: Innovation Market what Fort Collins and CSU are doing regarding
technology start-ups to the specialists and executives already in
Fort Collins , especially those at large firms .
2: Innovation Technology Transfer / Commercialization . Expand Fort Collins'
capacity to support technology commercialization and product
development.
2: Innovation Work with local manufacturers and companies to create an asset
map of the resources and services available in the region to
support product development and early-stage manufacturing .
2: Innovation Identify areas of the product lifecycle that Fort Collins does not
currently (but should) support with local services.
2: Innovation Develop and execute projects and initiatives to address the
above gaps .
3: Talent Management Create and staff a workforce development program .
3: Talent Management Work more closely with Larimer County Workforce Center and
Workforce Investment Board .
TIP Strategies , Inc. Theory Into Practice 51
City of Fort Collins , CO
Quarter Year Lead Staff Objec0r. StrategyAction
r 3: Talent Management Encourage the WIB to act as the conduit between employers and
area educational institutions to identify and bridge skills gaps in
the existing workforce.
Now• 3: Talent Management Incorporate Fort Collins' target industries into the Workforce
Center's set of target industries to bring about closer coordination
moor of training programs and emerging industries.
3: Talent Management Promote the Workforce Center's services to businesses and
MOP, talent across Fort Collins .
Lm 3: Talent Management Incorporate workforce development into economic health
programming across the city to promote cross-pollination and
collaboration .
3: Talent Management Collect, analyze , and report workforce data to enhance the
mr community's understanding of its labor force, market, and
industry issues .
3: Talent Management Use the existing BRE survey to collect current and localized
information on Fort Collins' labor force and labor shed .
3: Talent Management On a quarterly basis , publish a Fort Collins and Larimer County
workforce report that provides an overview of pertinent labor
market information and highlights important accomplishments,
programs , and issues in workforce development.
3: Talent Management Provide updated labor market information on a quarterly basis at
the county and city level that is accessible to the public.
3: Talent Management Engage employers through meaningful participation and support
in programs and initiatives aimed at resolving their specific
workforce issues and improving workforce training , including K-
12 education .
3: Talent Management Create a sub-committee of the WIB comprised of employers ,
education institutions , workforce development, and the City to
discuss on-going programs and initiatives as well as cross-cutting
issues .
TIP Strategies , Inc. Theory Into Practice 52
City of Fort Collins , CO
Quarter Year Lead Strategy / Actiop-�j
mmm 3: Talent Management Design programs to address the primary issues raised by the
sub-committee.
3: Talent Management Coordinate with industry councils to understand and incorporate
mom their workforce-related issues (see Objective One , Strategy 1 -
1 .3) .
3: Talent Management Educate local youth on the wide range of career opportunities
available to them locally, with a focus on changing the perception
of manufacturing and heavy industry jobs .
• 3: Talent Management Hold annual career days at local high schools that expose
students to different professions through speakers , videos,
Emir factory tours, and shadowing opportunities .
3: Talent Management Organize factory tours that showcase the advanced technologies
Epr used in manufacturing processes and the skills needed to work in
that environment.
3: Talent Management Create an apprenticeship or internship program that would
provide hands-on learning experiences for high school students.
3: Talent Management Coordinate with Front Range Community College ( FRCC) to
promote opportunities available to high school students to obtain
certifications and enhance their work readiness upon graduation .
3: Talent Management Include program information and resources for local youth on
Fort Collins on-line job board .
3: Talent Management Promote opportunities for leadership training , professional
development, and networking .
3: Talent Management Facilitate greater levels of civic engagement.
3: Talent Management Continue City Works, Leadership Fort Collins , and Envision :
Young Professionals as a means of training future leaders ,
educating them about opportunities to participate in the
community, and engaging them . Coordinate the programs to
better define their distinct purposes and/or audiences to create a
more robust leadership development initiative .
TIP Strategies , Inc. Theory Into Practice 53
City of Fort Collins , CO
Quarter Year Lead Staff Objective Strategy / Action
3: Talent Management Encourage emerging leaders to apply for seats on city boards
and commissions by hosting workshops on what the various
' boards and commissions do and providing information on which
moor seats are available .
3: Talent Management Work with local organizations, businesses, and institutions of
higher education to develop a volunteer clearinghouse to connect
emerging leaders with other opportunities to get involved with the
01117 community.
3: Talent Management Create an annual awards program to honor individuals making a
moff" difference in the community.
3: Talent Management Provide professional development opportunities .
3: Talent Management In partnership with the WIB, establish an internship and
apprenticeship program that would match interested high school
or and college students with local employers .
3: Talent Management Market CSU and FRCC continuing education programs to young
professionals through relevant organizations .
3: Talent Management Establish a career mentoring program in partnership with a
community partner.
3: Talent Management Enhance access to and awareness of local employment
opportunities .
3: Talent Management Launch an on-line , Fort Collins-centric job and gig board to
increase connectivity between employers and talent. Link to the
board from other Fort Collins websites including the City,
Chamber, Convention & Visitors Bureau , RMI , CSU Alumni
Network, and CSU Career Center. Indeed .com provides a low-
cost option for accomplishing this .
3: Talent Management Encourage employers to post job and internship opportunities on
the Fort Collins job and gig board .
3: Talent Management Create opportunities for newcomers and job-seekers to network
with local entrepreneurs and industry leaders .
TIP Strategies , Inc. Theory Into Practice 54
City of Fort Collins , CO
Quarter Year Lead Staff ObjecOr. . Action
3: Talent Management Provide educational opportunities and training workshops to
support the 1099 workforce (independent contractors) , which has
emerged as a rapidly growing sector. Such opportunities and
training should be targeted both to workers and the employers
11 contracting with these workers.
3: Talent Management Strengthen the innovation and entrepreneurial talent pipeline .
3: Talent Management Engage the CSU Alumni Network as a key source of talent.
3: Talent Management Partner with the CSU Alumni Association to communicate to
MEN[ alumni about the innovation-related events and opportunities in
Fort Collins .
__m 3: Talent Management Make the Fort Collins job and gig board available to CSU Alumni .
3: Talent Management Host alumni reception(s) at RMI with regional alumni groups to
showcase what Fort Collins is doing .
3: Talent Management Sponsor a CSU Alumni entrepreneurs network to build a strong
connection between RMI and CSU Alumni entrepreneurs , even if
they are not currently located in Fort Collins .
3: Talent Management Reach out to successful entrepreneurs and executives who are
CSU Alumni , and invite them to join RMI 's initiatives.
3: Talent Management Increase the involvement of CSU , in particular the Colleges of
Business and Engineering , as sources of entrepreneurial talent.
3: Talent Management Strengthen the existing entrepreneurship program in the College
of Business, and extend its reach across campus .
3: Talent Management Introduce intensive business formation courses and events to
generate interest in and momentum for student-led
entrepreneurial ventures .
3: Talent Management Create a student internship program at RMI to prepare students
for employment in start-up and young companies.
TIP Strategies , Inc. Theory Into Practice 55
City of Fort Collins , CO
Quarter Year Lead mqkQ0 � • ' • •
3: Talent Management Continue to explore ways of engaging faculty in technology
commercialization and business formation through the revision of
tenure policies to factor in such activities, by educating faculty
about commercialization , and by fostering a more entrepreneurial
culture in general .
3: Talent Management Coordinate continuing education programs in partnership with
RMI and the SBDC to provide a full range of education
Ong: opportunities to University entrepreneurs.
--� 3: Talent Management Leverage the knowledge base of seasoned entrepreneurs in Fort
Collins.
3: Talent Management Continue to recruit volunteer advisors who are entrepreneurs to
participate in RMI .
3: Talent Management Create networking opportunities for new entrepreneurs to interact
with seasoned entrepreneurs .
3: Talent Management Host a speaker series that features seasoned entrepreneurs
talking about lessons learned and topics of interest.
3: Talent Management Use tourism and visitation as a talent and business outreach
strategy to support industry cluster development.
3: Talent Management Update the Convention and Visitors Bureau (CVB) website to
also serve as portal for talent and businesses interested in
relocating to Fort Collins.
3: Talent Management For individuals looking to relocate to Fort Collins, include links to
relocation information on the Chamber website and to job
searching tools .
3: Talent Management For entrepreneurs , include links to RMI and
www. FortCollinslnnovation .com .
3: Talent Management For businesses , include links to Economic Health Office and
NCEDC.
3: Talent Management Coordinate a conference strategy that would bring key talent and
businesses to Fort Collins.
TIP Strategies , Inc. Theory Into Practice 56
City of Fort Collins , CO
Quarter Year Lead Staff Objec0r. StrategyAction
3: Talent Management Partner with industry cluster managers, the CVB and CSU
Conference Services to identify conferences and events as well
as groups of professionals and businesses that would help
strengthen Fort Collins' industry clusters .
3: Talent Management Recruit conferences to Fort Collins , or plan conferences or
symposia that would appeal to targeted groups of professionals
and businesses, and use these conferences as opportunities to
showcase Fort Collins to these targeted audiences .
3: Talent Management Organize industry-specific tours to increase private sector
support for research in Fort Collins
L 3: Talent Management Work with CSU research centers , industry cluster managers, and
federal labs to identify potential industry partners .
3: Talent Management Invite potential partners to Fort Collins to showcase how their
Irm research and development agendas can be advanced by the
research capabilities of Fort Collins organizations and institutions.
3: Talent Management Create a database of the potential partners in the CRM system
and ensure that the relationships are tracked in the system .
3: Talent Management Provide support to appropriate parties in following up with
partners on a regular basis through phone calls , emails, and
eNewsletters.
3: Talent Management Downtown Hotel & Conference Center. Support the development
of a blue-ribbon hotel and conference center in or adjacent to
downtown .
4: Assets & Focus on community improvement by encouraging the
Infrastructure development of vibrant business districts, commercial nodes , and
commercial corridors through the use of catalyst projects and an
economic development toolbox.
4: Assets & Identify specific areas to target for infill and redevelopment
Infrastructure opportunities .
TIP Strategies , Inc. Theory Into Practice 57
City of Fort Collins , CO
Quarter Year Lead 1 11 !
4: Assets & Hold workshops for each target area with land owners and
Infrastructure developers to craft a common vision for the area , define desirable
outcomes, and identify potential catalyst projects .
4: Assets & Translate the vision into a viable blueprint that establishes a plan
Infrastructure for achieving the vision .
4: Assets & Continue to assess the City's regulatory framework to ensure it is
Infrastructure supportive of desired development.
4: Assets & Ensure that land use policies encourage high density uses and
Infrastructure foster high-quality development.
4: Assets & Develop specialized toolsets using special financing districts ,
Infrastructure overlay districts, and other mechanisms to encourage the
implementation of the city's vision for each targeted area . (See
Economic Health Toolbox on following page) .
4: Assets & Continue to participate in public-private partnerships that facilitate
Infrastructure significant infrastructure improvements and quality
redevelopment projects.
4: Assets & Encourage the expansion or relocation of business in targeted
Infrastructure development areas to stimulate commercial activity.
4: Assets & Reach out to the developer and broker communities to
Infrastructure communicate the City's vision for those areas and how the City
can participate.
4: Assets & Focus on strategic projects that inspire private sector response in
Infrastructure the target areas .
4: Assets & Identify anchor projects that can bring in the type of traffic and
Infrastructure uses needed to catalyze development and realize the vision in
the target area .
4: Assets & Work with the Economic Health Stakeholder Group (See
Infrastructure Implementation Section , Role #2) to prioritize list of catalyst
projects .
TIP Strategies , Inc. Theory Into Practice 58
City of Fort Collins , CO
Quarter Year • Lr 1=7 StrategyAction
4: Assets & Develop a work plan for the projects of highest priority that
Infrastructure includes tasks, a timeline , resource needs, and expected
outcomes.
4: Assets & Create a financing plan that leverages available public sector
Infrastructure sources with private sector funds .
4: Assets & Manage the project from start to finish to ensure its
Infrastructure implementation .
4: Assets & Preserve and enhance the features of Fort Collins' culture and
Infrastructure economy that make it unique.
4: Assets & Continue to support and enhance Fort Collins' bike culture and
Infrastructure cycling industry.
4: Assets & Continue to support the development of Fort Collins as a
Infrastructure destination for bicycle-oriented visitors through cultural events ,
sporting events , and tourism products.
4: Assets & Leverage business opportunities that arise from Fort Collins' bike
Infrastructure culture as a means of expanding the Uniquely Fort Collins
industry cluster.
4: Assets & Leverage the presence of the breweries in Fort Collins to grow
Infrastructure the craft brewing industry and attract visitors.
4: Assets & Support the creation of a craft brewing industry showcase that
Infrastructure focuses on the business of brewing and builds Fort Collins
reputation as a leader in the industry.
4: Assets & Integrate water conservation efforts with the craft brewing
Infrastructure industry.
4: Assets & Reinforce Fort Collins' position as a regional center.
Infrastructure
4: Assets & Continue the refinement of a retail strategy to position Fort
Infrastructure Collins as a regional retail center, and prioritize redevelopment
opportunities for retail in targeted investment zones.
TIP Strategies , Inc. Theory Into Practice 59
City of Fort Collins , CO
Quarter Year • 1=7 Strategy ' • .] . I
4: Assets & Include projects on the catalyst project list that add to the
Infrastructure recreation and entertainment opportunities in Fort Collins that
draw regional visitors .
4: Assets & Be supportive of the regional healthcare providers and higher
Infrastructure education institutions in Fort Collins in delivering high quality
services.
4: Assets & Ensure that companies in Fort Collins have options for expansion
Infrastructure and relocation within the city limits .
4: Assets & Conduct a needs assessment to determine types of space that
Infrastructure will most likely be in demand .
4: Assets & Collaborate with CSU , RMI , and the regional development
Infrastructure community to understand what types of commercial and industrial
space are available, what is currently in demand , and what the
most promising companies are likely to need .
4: Assets & Work with the industry cluster managers to identify typical space
Infrastructure requirements needed to support industry clusters.
4: Assets & Survey clients of RMI , the CSU-based Engines and Energy
Infrastructure Conversion Lab ( EECL) , and the CSU-based Research
Innovation Center (RIC) to understand what their future needs
will likely be.
4: Assets & Aggregate and present this information to the City Council ,
Infrastructure community leadership, and local land owners and developers to
inform them of the likely short-term and long-term needs of Fort
Collins' businesses.
4: Assets & Work with the broker community to create and maintain an
Infrastructure inventory of available space in Fort Collins that meets the above
criteria .
4: Assets & Partner with private property owners to market their available
Infrastructure space to companies looking to expand or relocate in Fort Collins.
4: Assets & Assist the brokers in identifying promising tenants within Fort
Infrastructure Collins industry clusters.
TIP Strategies , Inc. Theory Into Practice 60
City of Fort Collins , CO
Quarter Year Lead Staff Objective Strategy •
4: Assets & Share information with prospects and business assistance clients
Infrastructure on what sites are available.
■ 4: Assets & Update the list monthly.
Infrastructure
4: Assets & If available space is not adequate to meet long-term goals for
Infrastructure business growth and economic diversification , evaluate feasibility
of establishing a new technology park or parks in City's Growth
Management Area (GMA) .
4: Assets & Potential sites for parks include an Innovation Park that would
Infrastructure connect the EECL and RMI , the Prospect Technology Park on
the 100 acres of university-owned land with 1-25 frontage , and a
site in the Mountain Vista area .
4: Assets & Preserve potential sites as future employment centers through
Infrastructure zoning and land-use policies and possibly land banking .
4: Assets & Monitor the business and development climate to ensure Fort
Infrastructure Collins' ability to nurture business .
4: Assets & Support the predictability and transparency of the development
Infrastructure and business assistance process.
4: Assets & Develop a clear incentives policy that outlines the use of the
Infrastructure City's economic health tool box.
4: Assets & Work with representatives of the local business and development
Infrastructure community to gather input on the development review process ,
and work closely with the City Council to continue to help make
the development approval process as predictable and
transparent as possible.
4: Assets & Continue to benchmark the local permitting process against
Infrastructure similar processes in neighboring communities.
4: Assets & Continue to shepherd companies through the development
Infrastructure process as needed .
TIP Strategies , Inc. Theory Into Practice 61
City of Fort Collins , CO
Quarter Year Lead �r • . •
4: Assets & Publicize the existing outline of the development process to
Infrastructure brokers, developers, and the community-at-large, and enhance
the outline where necessary.
4: Assets & Encourage high quality development and redevelopment by
Infrastructure addressing any issues through continuous improvement.
4: Assets & Advocate for economic health interests in government policies
Infrastructure and programs that impact the business climate .
4: Assets & Create input mechanisms for the business community to provide
Infrastructure continuous feedback on business climate issues .
4: Assets & Communicate with elected officials on key issues.
Infrastructure
4: Assets & Seek opportunities to integrate economic health objectives into
Infrastructure City policies and programs to improve the business climate .
4: Assets & Create a culture of empowerment that adapts rapidly and cost
Infrastructure efficiently in response to the changes in the business
environment.
4: Assets & Continue to foster arts and culture as an economic driver.
Infrastructure
4: Assets & Increase and improve opportunities for learning and expanding
Infrastructure creative industries in Fort Collins .
4: Assets & Encourage partnerships between educational , cultural , and
Infrastructure business institutions that create opportunities .
4: Assets & Expand opportunities for arts education programming and
Infrastructure participation for youth and adults .
4: Assets & Support the Arts Incubator of the Rockies as a means of
Infrastructure strengthening creative enterprises .
4: Assets & Promote visibility of the Arts and Culture.
Infrastructure
TIP Strategies , Inc. Theory Into Practice 62
City of Fort Collins , CO
Quarter Year • Lr 1=7 Strategy ' •
4: Assets & Showcase the creative industries of Fort Collins through events
Infrastructure such as Bohemian Nights and New West Fest.
4: Assets & Provide opportunities for local artists to display their works in
Infrastructure public spaces across the City.
4: Assets & Seek opportunities for Fort Collins artists to reach national and
Infrastructure even international audiences .
4: Assets & Continue and support active arts and entertainment such as
Infrastructure Streetmosphere and Beet Street.
4: Assets & Leverage the Arts Incubator of the Rockies (AIR) to enhance the
Infrastructure creative sector and foster a more creative business climate.
4: Assets & Encourage AIR to develop a "Big Thinking" facility that provides
Infrastructure free form space for collaborative interdisciplinary teams to meet
and brainstorm .
4: Assets & Assist AIR in developing a curriculum designed to encourage
Infrastructure non-creative industry to leverage the benefits of the creative
thought process.
4: Assets & Expand the role of Art in Public Places .
Infrastructure
4: Assets & Encourage the use of art as a way-finding tool .
Infrastructure
4: Assets & Develop a mechanism for making the program available as a
Infrastructure service to private development.
4: Assets & Improve the delivery of high quality early childhood education and
Infrastructure other services to support working families.
4: Assets & Work with the Fort Collins small business support network to
Infrastructure tailor programs for childcare providers.
TIP Strategies , Inc. Theory Into Practice 63
City of Fort Collins , CO
Quarter Year Lead 1=7 Strategy •
4: Assets & Partner with the appropriate agencies , and prepare information in
Infrastructure the form of a planning guide to educate interested parties on how
to start a child care facility, applicable regulatory requirements,
funding opportunities, and links to other child care resources.
4: Assets & Introduce training programs and technical support services
Infrastructure specifically for childcare providers and family child care homes.
4: Assets & § Incentivize inclusion of childcare facilities in affordable housing ,
Infrastructure transit-oriented developments, and employment centers .
4: Assets & Make funding available to support childcare-oriented businesses.
Infrastructure
4: Assets & Consider childcare businesses as allowable applicant for Section
Infrastructure 108 Loan Program .
4: Assets & Allow funds in TIF districts to be used for the development of
Infrastructure childcare facilities .
4: Assets & Pursue state and federal funding sources such as the Community
Infrastructure Development Block Grant (CDBG) to provide capital and
leverage private investment to support the expansion and
development of childcare facilities .
4: Assets & Support a needs assessment and gap analysis to identify missing
Infrastructure support services in the community.
4: Assets & Conduct a needs assessment to better understand the
Infrastructure challenges faced by Fort Collins' working families .
4: Assets & Identify any gaps in the social safety net, including access to
Infrastructure affordable housing , training , health insurance , and transportation .
4: Assets & Develop strategic initiatives and programs to fill these gaps.
Infrastructure
TIP Strategies , Inc. Theory Into Practice 64
City of Fort Collins, CO
Performance Measures
As part of the implementation plan , TIP worked with City staff to identify performance measures . These measures are divided into community level metrics , strategy
measures , and business plan measures . The performance measures are listed below.
i . Community : Evaluating the economic health of the city
Objective / Theme Metric
Creating more and better economic opportunity
Job Growth # of Jobs in the Fort Collins MSA, net jobs lost / gained & percent change year over year,
Wage Growth Average annual salary
Underemployment Educational attainment versus job training requirements
Diversify the tax base
Growth of commercial tax base Assessed Value by Type
Retail sales dependency Percentage of non- utility income from retail sales taxes
Private industry ' s share of jobs Jobs by Industry
TIP Strategies , Inc. Theory Into Practice 65
City of Fort Collins , CO
2 . Strategic : Evaluating the strategies used to affect economic health
Objective / Theme Metric
Innovation & Entrepreneurship
Technology commercialization Technologies Licensed
New business formation # of New Establishments
Capital access # and $ value of VC deals
Wealth creation $ created by successful exits
Business Retention and Expansion
Companies assisted & retained # of companies assisted
Jobs created Employment of companies assisted
Average wages of jobs created Average hourly wage
Dollars invested Investment by companies assisted
Companies lost # of companies who re-located somewhere else , particularly those who were involved with innovation
programs
Talent Management
Employers' perception of ease of Employer survey
recruitment
Entrepreneur pipeline Innovation resources
Civic engagement Community survey
Talent placement Employer survey
Community Assets & Quality of Place
Investment in redevelopment areas $ investment
Residential units in redevelopment areas # of Units
Commercial and industrial development Square Feet of Development by Property Type
in redevelopment areas
Leverage of city's investment $ of private investment per $ of city investment
TIP Strategies , Inc. Theory Into Practice 66
City of Fort Collins , CO
3 . Business Plan : Evaluating the Outcomes of Our BFO Offers
Objective / Theme Metric
Contracts with Service Providers
Leverage of City ' s Investment $ of other funding per $ of city funding
Jobs Created # of Jobs Created by Companies Assisted by Service Providers
Average Wages of those Jobs Average Annual Salary
Challenge Grants for Industry Clusters
Leverage of City ' s Investment $ of other funding per $ of city funding
Growth in Industry Clusters
Jobs # of Jobs in Industry Cluster
Establishments # of Establishments in Industry Cluster
Patents # of Patents Issued by Companies in Industry Cluster
Venture Capital Investment $ Invested in Industry Cluster Companies
Business Assistance Using Economic Development Toolbox
Private Investment in Deals Assisted $ of Private Investment in Companies Assisted by EHO
by the City
Jobs Created # of Jobs Created by Companies Assisted by EHO
Average Wages of those Jobs Average Annual Salary
Tax Base Implications Economic Impact (Jobs & Earnings )
Development Assistance
Private Investment in Deals Assisted $ of Private Investment in Projects Assisted by EHO
by the City
Square Feet of Development Square Feet of New Development by Type ( Retail , Commercial , Industrial )
Housing Units # of Housing Units by Type ( multifamily, single family, market rate, affordable )
Tax Base Implications Estimate Assessed Value
Communications ( Outcomes)
Awareness Outcomes from
Community Survey
TIP Strategies , Inc. Theory Into Practice 67
City of Fort Collins . CO
APPENDIX A : ASSESSMENT
To provide a common framework for our recommendations , TIP began by
compiling demographic and economic data on Fort Collins and the Front
Range . This analysis focused on Fort Collins and Larimer County in the
context of the state of Colorado and the nation where appropriate . The
purpose is to understand the city's relative economic position and highlight its - '
competitive advantages and disadvantages .
About the data
We based our findings on the following elements :
■ A review of relevant studies , plans, and other material provided by the
City of Fort Collins ;
■ A review of economic and demographic data from primary and
secondary sources, including the US Census Bureau , the Internal
Revenue Service , the US Bureau of Labor Statistics , and Economic .
Modeling Specialists Inc. (EMSI) .
The data and analysis is organized within five categories : demographics , - � —
migration and mobility, income and housing , economy, and workforce .
TIP Strategies , Inc. Theory Into Practice 68
City of Fort Collins, CO
Summary of Data Findings
Note : the Fort Collins Metropolitan Statistical Area (MSA) consists of Larimer County. Metropolitan statistical areas are geographic entities defined by the Office of
Management and Budget for use by Federal statistical agencies in collecting , tabulating , and publishing Federal statistics . Each metro area consists of one or more
counties that have a high degree of social and economic integration (as measured by commuting to work) with the urban core .
DEMOGRAPHICS
■ Larimer County's population is becoming increasingly urbanized . Fort Collins and the other incorporated areas of Larimer County have been growing
at a rapid pace over the last 10 years . Population in unincorporated areas has been flat. On the other hand , Fort Collins is growing more slowly than
Loveland , Windsor, and Wellington and this trend is expected to continue .
■ The aging of the population is a demographic challenging facing the nation . While the Fort Collins MSA is expected to follow this trend , the impact will
be far less dramatic compared to the rest of the nation .
MIGRATION & MOBILITY
Domestic migration accounts for most of the growth in Fort Collins . The largest number of residents that move to the Fort Collins MSA are from
Boulder County, and Weld County receives the largest number of outbound migrants from the MSA. Though the in-migration of residents to the Fort Collins
MSA slowed from 2003 to 2005 , it has since recovered and remained stable over the last 4 years .
■ Since 1998, net immigration (international) varied between 400 and 600 . From 1990 to 1998 , on the other hand , the number of foreign nationals
migrating to the Fort Collins MSA ranged between 1 ,200 and 1 ,600 .
■ The daily commuter flow reveals that the City of Fort Collins is a net importer of labor. Inbound commuters come from Windsor, Loveland ,
Wellington , and Laporte while outbound commuters go to Denver, Boulder, Westminster, and Longmont. Education Services , Healthcare , and Professional
Services are the three sectors that draw commuters into Fort Collins . Construction , Wholesale Trade , and Transportation are the three sectors that draw the
most commuters out of Fort Collins .
INCOME & HOUSING
■ Income and housing in Fort Collins follows the trends expected for a college town . The median household income is lower than the state as well as
Larimer County but is comparable to the national average . In addition , the average household size is smaller.
■ Of note is that the housing market is tight. Fort Collins has a vacancy rate of only 6% and the median home value is almost $250 ,000 , which is more than
30% higher than the national average . As a result, Fort Collins and Larimer County are less affordable than both the state and the nation .
TIP Strategies , Inc. Theory Into Practice 69
City of Fort Collins , CO
ECONOMY
■ Fort Collins' unemployment is currently higher than the county as a whole , but significantly lower than the state and national unemployment rates . Since
2008, the city's unemployment rolls have doubled and remain elevated .
■ The primary source of revenue for the city is sales and use tax. The receipts from sales and use tax outweigh property tax receipts 4 to 1 . However,
the sales and use tax base per-resident has been relatively stable over the past 10 years . Meanwhile , the property tax base, on a per-resident basis,
has increased 60% over the past 10 years.
■ The government sector, which includes public education , is the largest employment sector in the Fort Collins MSA. The retail trade and healthcare sectors
are the next largest sectors . Since 2003, the healthcare, professional services , and finance sectors have been the most rapidly growing .
■ In terms of relative concentration of employment versus the nation , Fort Collins' strongest sectors are in manufacturing — breweries , engine equipment, and
analytical laboratory instruments .
WORKFORCE
■ Although the Fort Collins MSA's workforce is highly educated , the available jobs do not necessarily meet the skill level of the residents. Forty-one ;
percent of the population in the MSA has earned a bachelor degree or higher. However, 65% of the jobs in the MSA require only on-the-job training or ■
previous experience ; only 25% of the jobs require a 4-year degree or higher. The education requirements of jobs in the MSA match better with the non-Fort
Collins residents of Larimer County. Of these residents who are 25 and older, only 35% have earned a bachelor degree or higher.
■ The largest occupation groups are sales , office and administrative support, and management. Business and financial operations , healthcare , and
management are the fastest growing occupational groups.
TIP Strategies , Inc. Theory Into Practice 70
City of Fort Collins, CO
SWOT WEAKNESSES STRENGTHS
TIP conducted an economic
US is a low-risk, investment i
development SWOT analysis political high-transparency alternative
p Y investment
instability and 0 IS destination energy
(strengths , weaknesses , regional growth
federal deficit &
opportunities , and threats) for the City disparities downward pressure 1-25
ED
of Fort Collins, based on a review of on fu and R&D Corridor
funding
favorable
economic, demographic, and sluggish exchangeratefor
workforce characteristics , interviews growth in US US$ benefits
economy, high Front exporters
with local and regional business and unemployment skills Range
ccC proximity to
mismatch natural assets /
community leaders , and Our educated Denver outdoor
experience working with communities in the shadow workforce healthcare Fort playground
stem & ZED
and regions across the country. of Boulder system
economic innovation strong
diversification infrastructure Old K-12 top 5 states to
The graphic illustrates the results of do business
9 p � access to Town R&D at (CNBC) ■
the analysis conducted as part of the capital fiscal federal labs
limited stat.a abilityto sustainability su ortfor & CSU
assessment. incentivesprogressive PP economic
attract CSU utilities independent health growing
executives business & toolbox cleaienergy
ence
The size of the bubble is intended to influence on arts & clusters
open labor clusters
higher aging commercial how key sites align
9 9 9 Y networks tourism &
convey the consulting teams view Of education corridors marketed
retention of ED
the relative importance of the topic, funding incubator
and in some cases , the likelihood of graduates support for
lack of available collaborate emerging
act in the region . commercial high quality office more closely with clusters
impact 9 growth going to space CSU region:i ED
surrounding collaboration with federal export
Items closer to the center of the communities Denver, Boulder, initiative mayopen
Colorado Springs new opportunities
tend to be more local in nature . climate
note environmental for local producers
graph 9 stewardship
Those at the outer corners are
influenced by state national or global stern/ gional
� � g economy growing global
trends , placing them to some degree unstable demand for US
commodity markets products and
outside of local or regional control . immigration services
restrictions
THREATS OPPORTUNITIES
TIP Strategies , Inc. Theory Into Practice 71
City of Fort Collins , CO
DEMOGRAPHICS
FIGURE - : LARIMER COUNTY' S POPULATION OUTLOOK
A Decade Of Change
The population of Fort Collins pushed close to 144 , 000 residents
150 , 000 City of Fort in the 2010 Census .
140 , 000 Collins
143 , 986 The Fort Collins MSA added about 48 , 000 new residents over
130 , 000 the decade . Half of these were added in the City of Fort Collins
120 , 000 o
118 , 652 with the remainder mostly in other incorporated areas of the
1105000 Other county.
1005000 incorporated The unincorporated areas of the county held relatively steady in
areas population during the decade . ;
90 , 000 89 , 784
80 , 000
707000 68 ,819 moms Unincorporated
601000 areas
64 ,023 65 ,860
50 , 000
40 , 000
30 , 000
20 , 000
10 , 000
0
2000 2005 2010
Source: Colorado Division of Local Government, Colorado State Data Center.
TIP Strategies , Inc. Theory Into Practice 72
City of Fort Collins , CO
DEMOGRAPHICS
FIGURE 2 : LARIMER COUNTY' S POPULATION OUTLOOK
No changes Expected in recent growth pattern
The Colorado State Data Center's
History - - - Forecast most recent population forecast
shows the Fort Collins MSA on
5001000 00 track to reach 500 ,000 in 30 years .
4509000 As of the 2010 Census , the MSA
400 , 000 population was approaching
3501000 300 , 000 , growing almost 19%
since the 2000 census .
3001000
250 , 000 The Colorado State Data Center's
forecast represents a net increase _
200 , 000 of about 200 ,000 residents over the
1501000 next 3 decades , a 66% increase .
100 , 000 00
50 , 000
0
1970 1980 1990 2000 2010 2020 2030 2040
Source: Moody's Analytics; U .S . Census Bureau (1970-1999) ; Colorado Division of Local Government, Colorado State Data Center (2000-2040).
TIP Strategies , Inc. Theory Into Practice 73
City of Fort Collins, CO
DEMOGRAPHICS
FIGURE 3 : COMPARATIVE POPULATION DISTRIBUTION BY AGE
The demographic characteristics of college towns always
100 % deviate from the national average and Fort Collins is no
■90% Seniors (65+) different in this respect. About 34% of the city's residents are
�
in their 20s or early 30s . Across the US , this age cohort is
80% only 20% of the population .
34%
70% 0 40% 39% Experienced The bulge of 20-34 year-olds in Fort Collins means that other
39 /o working age age cohorts are less represented in relative terms , including
60% (35-64) seniors , children , and older adults of working age.
50%
Young adults
40% 20% 22% 25% 34% (20-34)
30%
20% ■ Youth (0- 19 )
10%
0%
Q o cn
U) cu
cu c
o
° �j U
0
U
a) o
E u_
L. 4.
fC o
J
.r
U
Source: U .S. Census Bureau (American Community Survey, 2009) .
TIP Strategies , Inc. Theory Into Practice 74
City of Fort Collins, CO
DEMOGRAPHICS
FIGURE 4 : LARIMER COUNTY POPULATION DISTRIBUTION BY AGE
100 % Nationwide , the age composition of the country is
1 �IIIIIIIIIIIIIIIIIIIIIIII IIIII changing rapidly as the first baby boomers are just
y11j�. now beginning to retire . Over the next two decades
90% % the ranks of seniors will grow enormously.
80%2 ■ Seniors (65+) This pattern is expected to occur in the Fort Collins
MSA as well , but the overall trend is minor
70% compared to the rest of the country. The ranks of
% seniors will increase , but these changes in
60% Experienced working age demographic composition will not be noticed as •
(35-64 ) much here as in the rest of the country.
50% 27°
I
11 Ill .
40% 5% Young adults ( 20-34)
30% 11
20% 3 ■ Youth (0- 19)
10%
0%
1970 1980 1990 2000 2010 2020 2030
Source: US Census Bureau ; Moody's Analytics .
TIP Strategies , Inc. Theory Into Practice 75
City of Fort Collins, CO
DEMOGRAPHICS
FIGURE 5 : CURRENT ENROLLMENT STATUS OF THE POPULATION
Nationwide , about 26% of
■ Nursery & preschool the population is enrolled in
Kindergarten an educational program at
Elementary school (grades 1 -8 ) some level -- anything from
pre-school to graduate
■ High school (grades 9- 12 ) school . Colorado looks a lot
■ College or graduate school like the national average , but
in Fort Collins the presence
0 % 5% 10% 15 % 20% 25% 30 % 35 % 40 % of Colorado State skews the
enrollment rate for the city's
USA 1 % 11 % population as well as the ;
MSA. Nearly 4 of every 10
residents in the City of Fort
Colorado � 1 % Collins is enrolled in an
educational program of
Larimer County 1 % 9% some kind .
Fort Collins % 8%
Source: U .S. Census Bureau (American Community Survey, 2005-2009 average)
TIP Strategies , Inc. Theory Into Practice 76
City of Fort Collins, CO
DEMOGRAPHICS
FIGURE 6 : DEMOGRAPHIC COMPARISON
Ancestry, homeownership, military service, language, & citizenship
A large base of rental housing
• • • • Fort Collins is needed to accommodate
Family origins student populations. In the
Germany 17% 23% 31 % 29%
Latin America 16% 20% 10% 10% City of Fort Collins , about 47%
Africa 13% 5% M 1 % 2%
Ireland 12% 13% 16% 16% of occupied housing units are
England 9% 12% 14% 12% rentals . This trend , however,
Asia 5% 3% 2% 4%
Scandinavia 3% 6% 10% 9% doesn't translate to the rest of
Home the MSA. Larimer County
• itself has an overall
Renter 34% 33% 34% 47% ■
homeownership rate that •
Military service looks more like the state and
Civilian veteran 9% 11 % 10% 8%
Currently in uniform 1 % 1 % < 1 % < 1 % US averages .
Primary language
English 80% 83% 90% 89%
Spanish 12% 12% 7% 6%
Other 8% 5% 3% 5%
Citizenship
US-born 87% 90% 95% 94%
Naturalized citizen 5% 3% 2% 2%
Not yet a citizen 7% 6% 3% 4%
Note: "Family origins" is calculated from Census tabulations across multiple categories , including ancestry, race, & ethnicity; "Military service" is calculated
on the population age 18 or older.
Source: U .S. Census Bureau (American Community Survey, 2005-2009 average) .
TIP Strategies , Inc. Theory Into Practice 77
City of Fort Collins , CO
MIGRATION & MOBILITY
FIGURE 7 : LARIMER COUNTY MIGRATION PATTERNS
Gross numbers of inbound and outbound movers since 1989
The IRS provides county-level tabulations of
Inbound Outbound exemptions for annual tax return filings .
When the home address of a tax return filer
201000 crosses a county line from one year to the
181000 next, the aggregated IRS files capture this
16 , 000 illillillillillllllll1111111111,iiiiiiillll11,1111111111111111111lillillililljIIIIIIIIIIIIIIIIIIIIIIIlljlllllllllI as an inbound or an outbound move for a
14 , 000 given county.
12 , 000 000
These records show that inbound moves
101000 into the Fort Collins MSA grew from about
81000 13 ,000 in 1989 to 18 ,000 in 2001 . Inbound
61000 migration peaked during the tech boom , and
then aligned more closely with outbound
4 , 000 migration . Recent IRS data show that net
21000 migration into the county is still positive, but
0 0 0 r N co v YY W h 00 0) 0 r N M Re W 0o the margin hasn't regained its 1990s-era
00 0) on 0 0) on 0 0) on 0 0) 0 0 0 0 0 0 0 0 0
on 0 an on 0 an 0) 0 an 0) 0 0 0 0 0 0 0 0 0 0 levels .
r r r r r r r r r r r N N N N N N N N N
Source: US Internal Revenue Service, county-to-county migration flows, Moodys Analytics .
TIP Strategies , Inc. Theory Into Practice 78
City of Fort Collins , CO
MIGRATION & MOBILITY
FIGURE 8 : COMPONENTS OF GROWTH IN FORT COLLINS MSA
Natural increase and
domestic migration immigration have proven stable,
■ immigration
natural increase ( births minus deaths ) steady contributors to the MSA's
+ 10 , 000 population growth , but the more
volatile component of net
+ 9 , 000 domestic in-migration tends to
+ 8 , 000 be the biggest driver of
+ 7 , 000 detail in next population growth in most years .
exhibit
+ 61000 ' ` The Census Bureau Is annual
estimates of net domestic in-
+ 5 , 000
migration align closely with the •
+4 , 000 trends seen in IRS records . A
+ 3 , 000 dip in net migration occurred
+2 , 000 , , r � � � after the tech boom of the
1
1990s , and the MSA has only
+ 1 , 000 recent begun to resume more
+ 0 typical growth patterns .
1990 1995 2000 2005 2010
Source: U .S . Bureau of the Census; Moody's Analytics .
TIP Strategies , Inc. Theory Into Practice 79
City of Fort Collins, CO
MIGRATION & MOBILITY
FIGURE g : MOBILITY RATES IN THE CITY OF FORT COLLINS BY AGE, 2oo6 - 2oog AVERAGES
% of Fort Collins population that moved during an average year in each age cohort
■ Moved within Fort Collins or Larimer County TIP analyzed city-level data from the
Moved from elsewhere in Colorado American Community Survey for the four
Moved from elsewhere in the US
■ Moved from abroad years from 2006-2009 . This analysis
0% 10% 20% 30% 40% 50 % 60 % 70 % documents mobility patterns by age , but it
yields few surprises . In-migration into the
1 to 4 years 3% ��� city is heaviest among 18- 19 year-olds
5 to 17 years —��% �18 and 19 years 37% 12% transitioning from high school to college .
20 to 24 years 11 % 7% Mobility is very high among those in their
25 to 29 years —` 9% 20s .
30 to 34 years --
35 to 39 years The analysis also shows that as adults in _
40 to 44 years jjjWW 2% 7% NJ the City of Fort Collins grow older, their
45 to 49 years 2% 5MI annual mobility rates generally decline .
50 to 54 years 2%3% 1 Young families with children are likely to
55 to 59 years _ 3% 3% scramble to new nests before their kids
60 to 64 years _°j%
65 to 69 years start kindergarten , but the mobility rate
70 to 74 years among school-age children then drops by
75 years and over -2%2% half.
Source: U .S. Census Bureau (American Community Surveys, 2006, 2007, 2008, & 2009) .
TIP Strategies , Inc. Theory Into Practice 80
City of Fort Collins, CO
MIGRATION & MOBILITY
FIGURE 1o : COUNTIES WITH HISTORICALLY HIGH MIGRATION PATTERNS WITH LARIMER COUNTY
Annual net migration into (out of) Larimer County from the selected counties
inbound (net moving into Larimer County)
Looking back once more at IRS
outbound (net leaving Larimer County) tabulations , we are able to answer
some basic "where" questions
Boulder Jefferson Los Angeles El Paso San Diego Arapahoe Denver Weld about mobility.
County County County County County County County County
Colorado Colorado California Colorado California Colorado Colorado Colorado Larimer County nets most of Its
new residents from Boulder
County and picks up a relatively
00
oo Co c0 0 c> oo rn Co o co rn 00 o ao rn ao
0 00 0 00 0 00 0 00 0 00 0 00 0 00 0
M c M o M c M c M c M c M c M c steady trickle of in-migrants from
r N r N r N r N r N r N r N r N
+1000 +1006 urban Southern California
+a00 +a0o
+600 +600 counties .
+400 +400
+2000 I.II ,, Ilui � 'd' — 020o Larimer loses more residents on a
-200 � -200 net basis to Weld County than
-400 .400 anywhere else . Denver County is
-600 -600 a distant second , but it too has
-s00 -a00
-1000 .1000 recently been peeling away as
-1200 - 1.1200 many as 200-300 Larimer
-1400 -1400
-1600 — -1600 residents a year on a net
-1800 — -1800 basis .exceeds the number of jobs
in the city by more than 2 ,000 .
Source : US Internal Revenue Service, county-to-county migration flows; Moodys Analytics.
TIP Strategies , Inc. Theory Into Practice 81
City of Fort Collins, CO
MIGRATION & MOBILITY
FIGURE 1i : NET DAILY COMMUTER FLOW TO AND FROM CITY OF FORT COLLINS
Four inbound commuters to city for every three who commute out
Inbound Outbound Net inbound commuting into the City of Fort Collins narrowed during
the recession that followed the tech boom (about 2003) , but
45 , 000 inbound commuting growth has since resumed .
40 , 000 The city nets about 10 ,000 inbound commuters . What these means
in real terms is that the city's job base exceeds the number of
35 , 000 employed residents by about 10,000 .
30 , 000 '
25 , 000
20 , 000
15 , 000
10 , 000
5 , 000
0
2002 2003 2004 2005 2006 2007 2008 2009
Source: US Internal Revenue Service, county-to-county migration flows; Moodys Analytics .
TIP Strategies , Inc. Theory Into Practice 82
City of Fort Collins , CO
MIGRATION & MOBILITY
FIGURE 12 : NET DAILY COMMUTER FLOW BETWEEN CITY OF FORT COLLINS AND OTHER CITIES
Net outbound flows from Fort Collins to cities further south; most net inbound traffic is local
inbound (net commuting into Fort Collins) Commuters who reside in the City of
outbound (net commuting out of Fort Collins) Fort Collins but work elsewhere are
most likely headed to work in
City of City of City of City of City of City of City of City of Denver, Boulder, or other cities to
Denver Boulder Westminster Longmont Laporte Wellington Loveland Windsor the south .
Colorado Colorado Colorado Colorado Colorado Colorado Colorado Colorado
Fort Collins pulls in its inbound
N M N 0) N 0) N (n N (n N M N 0) N O) commuters mostly from surrounding
0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0
0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 o cities within the MSA.
N N N N N N N N N N N N N N N N
+19200 — +11200 ■
+11000 +11000 ■
+800 — +800
+600 — +600
+ 00 + 00
+200 +200
0 0
-200 � -200
-400 -400
-600 -600
-800 -800
-13000 -12000
-10200 — -1 ,200
-13400 -11400
-10600 -1 ,600
-13800 -12800
-2,OOn -21000
Source: U .S . Bureau of the Census, Local Employment Dynamics (LED) database, 2002-2009.
TIP Strategies , Inc. Theory Into Practice 83
City of Fort Collins , CO
MIGRATION & MOBILITY
FIGURE 13 : FORT COLLINS COMMUTING PATTERNS BY SOCIODEMOGRAPHIC CHARACTERISTICS
Variation by age, but less variation by earnings
i inbound (net commuting into the City of Fort Collins) Commuting patterns by
outbound (net commuting out of the City of Fort Collins) earnings show surprisingly little
by age cohort by annual earnings variation in pattern over the past
Under 30 30 to 54 55 or older <$15, 000 $15k to $40k >$40, 000 several years .
N T N T N (n N T N T Commuting N T Ctin patterns b age,
0 0 0 0 0 0 0 0 0 0 0 0 g P Y g
0 0 0 0 0 0 0 0 0 0 0 0
N N N N N N N N N N N N however, show one key trend :
+8000 +8000 +8000 +8000 the recession following the tech
+7500 +7500 +7500 +7500
+7000 +7000 +7000 +7000 boom appears to have impacted
+6500 +6500 +6500 +6500 younger workers more than •
+6000 +6000 +6000 +6000 '
+5500 +5500 +5500 +5500 others . Those under the age of
+5000 +5000 +5000 +5000 30 were more likely to commute
+4500 +4500 +4500 +4500
+4000 +4000 +4000 +4000 out of the city for work in the first
+3500 +3500 +3500 +3500 half of the decade . This trend
+3000 +3000 +3000 +3000
+2500 +2500 +2500 +2500 has since reversed ; since 2006 ,
+2000 +2000 +2000 +2000 the city has pulled in more
+1500 +1500 +1500 +1500
+1000 1 01 +1000 +1000 +1000 workers under the age of 30
+500 +500 +500 +500 than it has lost. Still , this net
0 0 0 0
-500 -500 -500 -500 margin is slim compared to
-1000 -1000 -1000 -1000
-1500 -1500 -1500 -1500 other age groups .
-2000 -2000 -2000 -2000
Source: U .S. Bureau of the Census, Local Employment Dynamics (LED) database , 2002-2009.
TIP Strategies , Inc. Theory Into Practice 84
City of Fort Collins, CO
MIGRATION & MOBILITY
FIGURE 14 : NET DAILY COMMUTER FLOW TO/ FROM CITY OF FORT COLLINS BY ECONOMIC SECTOR
City residents who work in
. inbound (net commuting into Fort Collins) construction , wholesale trade,
. outbound (net commuting out of Fort Collins)
transportation/warehousing ,
Constr- Whole- Transport Inform- Hotels, Mfg. Retail Gov't Prof. Health- Education and information/media sectors
uction sale & ware- ation & bars, & trade services services care services
N 0 N N N
trade housing media restnts. are more likely to leave the city
O O Of N W N Of N OI N W N W N O! NO
O O O O O O O O O O O O O O O O O O
O O o O O N N N N N O O limits for work than those who
N N N N N N N N o O o O O O O O O
N N N N N N N N N N N N N N
+4250 +4250 work in other sectors of the
+4000 +4000 economy.
+3750 +3750 y
+3500 +3500
+3250 +3250
+3000 +3000 The citys, education ,
+2750 +2750 healthcare , and professional ,
+2500 +2500
+2250 +2250 a
services sectors draw •
+2000 +2000
+1750 +1750 considerable inbound traffic, as W
+1250 milli +1250 does the government sector.
+1000 +1000 The city's manufacturing sector
+500
+500 +250
500 once attracted heavy inbound
zs0 z5o commuting , but as recently as
-500 .500 2009 , this inbound flow had
-750 -750
-1000 - - -1000 reversed .
-1250 .1250
Source: U .S . Bureau of the Census, Local Employment Dynamics (LED) database, 2002-2009.
TIP Strategies , Inc. Theory Into Practice 85
City of Fort Collins, CO
INCOME & HOUSING
FIGURE 15 : HOUSEHOLD SNAPSHOTS
ToP ,3 household segments in Fort Collins
# 1 COLLEGE TOWNS # z UP AND COMING FAMILIES # 3 METROPOLITANS
With a median age of 24.4 years , College Towns is Up and Coming Families represents Tapestry Residents of Metropolitans communities prefer to live
the third youngest of all the Tapestry segments . Most Segmentation's second highest household growth in older city neighborhoods. Approximately half of
residents are aged between 18 and 34 years and live market. Residents of these neighborhoods are young , these households are singles who live alone or with
in single-person or shared households . One-fourth of affluent families with younger children . Most of the others; 40 percent are married-couple families. One in
0 households are occupied by married-couple families . residents are white; however, diversity is increasing four of the residents is aged 20-34 years . Diversity is
o The race profile of this market is somewhat similar to as the segment grows . low; most of the population is white.
the US profile . Approximately three-fourths of the
residents are white .
College Town residents are focused on education . Residents of Up and Coming Families are earning The labor force participation rate is well above
Many residents are enrolled in the university and above-average incomes . The median household average . Half of the residents who are employed work
others stay in the community to teach or do research . income is $76 , 135, higher than the national median . in professional or managerial positions and they are
o Because many students only work part-time, the The median net worth is $ 175, 142. Residents of this highly educated . The median household income is
median household income is low. Most of the segment are highly educated . Labor force $60 , 191 ; the median net worth is $ 102 ,460 .
. o employed residents work in the service industry, participation is high and unemployment is low.
0
U) holding on- and off-campus jobs in educational
services, health care , and food preparation . In
addition , the median net worth is very low.
Students in off-campus housing live in low-income Most residents live in new single-family housing ; more Residents of Metropolitans neighborhoods live in an
apartment rentals . Most of the owner-occupied than half the housing units were built in the last 10 eclectic mix of single-family homes and multiunit
dwellings are single family. The median home value is years. Home ownership is at 83 percent. The median buildings . Sixty percent of the housing units were built
$ 137,707 . One-third of the housing is single-family home value is $ 175 ,637 . before 1960 . The home ownership rate is 60 percent,
structures. and the median home value is $ 192 ,372 .
TIP Strategies , Inc. Theory Into Practice 86
City of Fort Collins , CO
# i COLLEGE TOWNS # 2 UP AND COMING FAMILIES #3 METROPOLITANS
Convenience dictates food choices; they usually buy ready- Family and home dictate the products these residents Metropolitans residents are no different from other
made, easy-to-prepare, or frozen meals, frozen pasta, pizza buy. Many are beginning or expanding their families, so owners of older homes who incur costs for maintenance
crusts, and peanut butter and jelly at the closest grocery baby equipment, children's clothing , and toys are and remodeling . They will contract for lawn maintenance
store. With their busy lifestyles, they frequently eat out or essential purchases . Because many are first-time and professional housecleaning services. Many will own
order in from fast-food restaurants, particularly McDonald's, homeowners, basic household furniture and lawn or lease a station wagon . Planning for the future,
Wendy's, and pizza outlets during the week; however, many fertilizer, weed control , and insecticide products are residents own shares in investment funds, contribute to
cook at home over the weekend. They buy books online and important. Car loans and mortgage payments are major IRA savings accounts, and hold large life insurance
in stores. They have student loans and bank online or by household budget items. They are most likely to own or policies.
ATM. These computer-savvy students own laptop computers lease an SUV or a minivan . They eat out at family
or expensive desktop personal computers and the restaurants, especially on the weekends, and buy fast These residents pursue an active , urbane lifestyle . They
peripherals to match. Connecting to the Internet is essential; food at the drive-through or for takeout. travel frequently for business and pleasure. They listen
they go online to research assignments, look for jobs, check to jazz, classical , public, and alternative music radio.
e-mail, and download music. Keeping in touch is also They play softball , take the kids to the zoo, and visit They go to rock concerts, watch foreign films on DVD,
Cn
important; they buy and use cell phones and accessories. theme parks (generally Sea World or Disney World) read women's fashion magazines, and play a musical
where they make good use of their digital camera or instrument. They also practice yoga and go kayaking ,
a�
New to living on their own, many College Towns residents camcorder. They rent comedy, family, and hiking/backpacking , and water and snow skiing .
ri purchase bedding, bath, and cooking products. They own action/adventure DVDs . Cable station favorites include
few appliances but, at a minimum, have a microwave oven, a Country Music Channel , ESPN news, The Learning Active members of their communities, Metropolitans
toaster, and an upright vacuum cleaner. Their lifestyle is very Channel , and the Disney Channel . They listen to residents join civic clubs, volunteer for environmental
casual. They rank high for participating in nearly every country, soft rock, and contemporary hit radio. causes, address public meetings, and work for a political
outdoor sport and athletic activity. party or candidate. They also belong to business clubs
and contribute to PBS. They prefer to own and use a
College Towns residents attend country music and rock laptop computer, preferably an Apple. They go online
concerts and college basketball and football games, play daily to download music and buy books , airline tickets,
pool, and go to movies and bars. They also participate in CDs, and clothes. They also order merchandise by mail
public activities including fund-raising and volunteer work. or over the phone.
They usually listen to alternative music on their MP3 players,
tune in to public radio, and watch MTV and Comedy Central
on cable TV. They shop at discount stores but prefer to buy
branded clothes from Old Navy, Gap, and Target.
Note: ESRI defines the US population into 65 market or "tapestry" segments. According to ESRI , these are the three segments that most closely fit Fort Collins residents (text verbatim from ESRI).
Source: ESRI .
TIP Strategies , Inc. Theory Into Practice 87
City of Fort Collins , CO
INCOME & HOUSING
FIGURE 1-6 : HOUSEHOLD COMPARISON
Household size, income, and housing stock
In Fort Collins , the
average household
Colorado Larimer County Fort Collins size is below the
Household profile national average .
ersons per HH 2.63 2.57 2.45 2.39
Median HH income $50,221 $55,430 $55,676 $50,652 Housing demand
Median home value $1859200 $237,800 $248200 $248,500 (reflected In
Affordability ratio' 3.7 4.3 4.5 4.9
HH income distrib. occupancy rates) Is
< 25,000 25% 21 % 24% 30% relatively high , which
$25,000450,000 25% 24% 22% 20%
$50,000-$75,000 18% 19% 19% 18% may put some
$75,000-$1000000 12% 13% ! 14% 14% ! ■
>$1001000 20% 23% 21 % 19% pressure on prices and '
affordability. Six of
Housing stock
every 10 housing units
Vacant 13% 12% 10% 6%
in the city has been
L) constructed since
ILy
Age of housing stock 1980 . Barely 1 in 10
Built since 2000 13% ! 17% 21 % 18% y
1980-1999 28% 32% 37% 42% housing units In the
1960-1979 28% — 31 % — 29% 28%
WWII-1959 17% 11 % 7% 6% m city predates the
Built pre-WWII 14% ! 9% 7% 6% m
1960s .
Note: The affordability ratio is the median home value divided by the median household income. The "ratio" equates the home price to raw earning potential
(expressed in years of gross income needed to pay for the home) The lower the number, the more affordable the housing . Median household income for the 9-
county region is an average of the counties weighted by the number of households. Median home prices in each county are weighted by the number of occupied
housing units to estimate the 9-county median.
Source : U .S. Census Bureau (American Community Survey, 2009) .
TIP Strategies , Inc. Theory Into Practice 88
City of Fort Collins , CO
INCOME & HOUSING
FIGURE IT DISTRIBUTION OF HOUSEHOLD INCOME
Share of total households by income level
US average City of Fort Collins Income distribution in the
City of Fort Collins closely
25% parallels the national
average . The main
20% difference is that Fort
i
Collins has a bulge of
15%
households in the
10% i-- — � $ 15 ,000425 ,000 range.
This bulge is likely to be
5% ` _ attributable to a high rate
of part-time employment
0% associated with the
°° �� �� ���� ���� �� ���� �Cil �0j �o�o college-age population .
069 0 °
00 00 Q 00 00 00
Source: U .S. Census Bureau (American Community Survey, 2009) .
TIP Strategies , Inc. Theory Into Practice 89
City of Fort Collins, CO
INCOME & HOUSING
FIGURE 18 : HOUSING AFFORDABILITY RATIOS
$375 , 000 The easy rule-of-thumb for measuring
housing affordability is the ratio of median
$350 , 000 Ratios > 3. 7 are
less affordable � . � home price to median household income .
$325 , 000 than the US This ratio is essentially the number of years
average R � �
$300 , 000 \ --------- �'� atypical household would need to pay for a
median-priced housing unit if, in theory,
$275 , 000 - ort Collins -rimer County, � 100% of income were applied to the
- '
$250 , 000 Ratios < 3. 7 are more principal until it was paid off. The lower the
�! affordable than the US ratio, the more affordable the housing .
$2257000 CO�OO average
Fort Collins' affordability index (4 . 9) exceeds
$200 , 000
hwAUSA the national average by a wider margin than
$ 175 , 000 either the state or the county. A large
$ 150 , 000 student population keeps the city's median
$40 , 000 $50 , 000 $60 , 000 $70 , 000 $80 , 000 $90 , 000 $ 100 , 000 income relatively low so this drives up the
Note: Bubble sizes reflect relative affordability: Fort Collins (4.9) , Larimer County (4.5) , Colorado (4 .3), US average (3 .7) . affordability ratio, at least on paper. It's
Source: U .S . Census Bureau . important to note that most students in this
city are renters , so real affordability for
permanent residents may actually be better
than the data seem to suggest.
TIP Strategies , Inc. Theory Into Practice 90
City of Fort Collins, CO
INCOME & HOUSING
FIGURE 19 : CONSUMER SPENDING IN FORT COLLINS RELATIVE TO THE US
Extremes reflect age demographics of a college town
Above average Average Below average US average = zoo for each spending
category
'120 -
115 — - — ESRI developed metrics based on Census
110 Bureau data to estimate consumer spending
105 Apr rates for various types of household
100 consumption .
95
90 - In the City of Fort Collins , the patterns are
85 low straightforward . The presence of CSU drives up
80 household spending rates for education and ■
75 —
70 _ computer equipment.
U3 U mfn
-° ° The city's young student population tends to be
healthy and not yet thinking about retirement, a
Q °} w professional wardrobe , or furnishing a new
LL
home , so consumer spending is relatively low in
a °
d g
these categories .
~
CL
C
T— E LL I`
w
0
a�
Source: ESRI ; US Bureau of Labor Statistics , Consumer Expenditure Surveys .
TIP Strategies , Inc. Theory Into Practice 91
City of Fort Collins, CO
ECONOMY
FIGURE 20 : AVERAGE ANNUAL UNEMPLOYMENT RATE, lggo - 2o11 (%)
Latest 2011 unemployment rate relative to the historical 2 -decade range
= unemployment rate range since January 1990 Unemployment rates nationwide
• = latest unemployment rate rose to record highs during the
recent recession and have since
11 % inched along toward gradual
10 % improvement.
9 /o
° I In the city of Fort Collins , the overall
historical range of unemployment as
8 % well as the current rate tend to be
7 % slightly higher than Larimer County ;
overall . Some of this is inevitable
6 % due to the transient dynamics of a
college-age population . Whatever
5 % the nuances may be between the
4 % city and the county, the city is
nevertheless in slightly better shape
3 % than either the US or the Colorado
2 % state average .
1 %
0 %
US Colorado Larimer County Fort Collins
Note: Because seasonal adjustment is not available for all jurisdictions, none of the rates shown (including comparables) are seasonally adjusted .
Source: U .S. Bureau of Labor Statistics, CPS (US rate) and LAUS (state & county rates) .
TIP Strategies , Inc. Theory Into Practice 92
City of Fort Collins, CO
ECONOMY
FIGURE 21 : UNEMPLOYMENT RATES COMPARED
City's business cycle has converged more with the US since the tech bust
12 -month moving average of the
q ��yy ff us Fort Collins seasonally unadjusted jobless rates
14J kl4
To put the city's unemployment rate in context, we
look back over the past 20 years .
8 The city's unemployment rate hit record lows during
the 1990s and never quite regained that edge
7 during the next decade .
6 °�4
5
4
3
2 °/a
f5 kf4
M M M C} {gg Q] 07 M M Q C7 O Q O C] C7 �D O <D = r
O} 0) M CD {5a CD :M M 0) C� CD !O4 � M Cn hQ� IC5 Oi � CD J �� M CD
f T T CY CY tY 4l CY LY \ Y % Y CY % Y 4l
CN
Source: U .S. Bureau of Labor Statistics, LAUS (state & county rates) .
TIP Strategies , Inc. Theory Into Practice 93
City of Fort Collins, CO
ECONOMY
FIGURE 22 : THE UNEMPLOYMENT ROLLS
Unemployment trends of Fort Collins residents over the past three years
Number Rolling 12-month Monthly unemployment
Year Month Unemployed Net Change In'1 rOvlrl ► numbers are notseasonall
2011 Apr -643 y
Mar 79391 -492 adjusted so the l be
Feb 7,937 +63 y can only
Jan 8 oss 4 compared to the same month in
2010 Dec
Nov 7,082 M +368 the previous year.
Oct 6,621 +20
Sep 6,573 -96
Aug 6,897 -5 The recent recession has been one of
Jul 7,030
Jun 7, 139 the most severe in recent memory . This
May 6,804 -228 7,086 E +165 is true in the US as well as in the City of
Mar +804
Feb 7;87a 7063 Fort Collins . '
Jan 8 070 +1 790
2009 Dec 7, 5 + ,
Nov 6,714 From mid-2008 to mid-2009 , the city's
Oct 69601 + 472 unemployment rolls doubled . Since
Sep 69669 ll + , 727
Aug 6,902 +Z 792 then , total unemployment has floated
Jul 71246 + , 005
Jun 7,627 +3, 431 seasonally between 6 , 500 and 8 , 000 .
May 7,032 +3, 397
Apr 6,921 +3, 417
Mar 7,079 +3, 121 On a rolling 12-month basis , one is able
Feb 6,811 +2, 910
Jan 6 280 nn� 7 to tease out incremental improvements
2008 Dec +71409 Nov 49446 + , 176 in the monthly data , but this positive
Oct 49129 +11114 trend is weak and is still hard to see in
Sep 31942 +832
Aug 4, 110 +1YO17 the raw monthly numbers .
Jul 49241 +1, 003
Jun 49196 + 48
May 39635 186
Note: LAUS survey data reflect local household employment, i .e. , the job status of employed residents. This is not the same as the local job base.
Source : U .S. Bureau of Labor Statistics, LAUS program .
TIP Strategies , Inc. Theory Into Practice 94
City of Fort Collins , CO
ECONOMY
FIGURE 23 : ALLOCATION OF THE LOCAL PROPERTY TAX IN RECENT YEARS
Millage rates of overlapping governments; total rate applicable to most properties within the city
• City of Fort Collins Larimer County Millage rates
Poudre R1 School District • Poudre Health Services District expressed in one-
• N . Colorado Water Conservancy District
thousandths. The
0 10 20 30 40 50 60 70 80 90 100 total mill levy of
1997 20 , 889 53112 ■1 86. 488 in zoio equals
1998 21 . 293 53172 ■� about 86 cents per
1999 9� 21 .656 484243 -■� p
2000 ■� 21 . 614 5&250 ■1 $ioo valuation.
2001 22 .461 51 .723 Ell
2002 22 .421 51,723 The city's mill levy of 9 . 797
2003 22 .423 52.496 I has remained stead for
2004 22 . 517 52 .496 ■� y
2005 22 . 541 50 .715 more than a decade , even
2006 22 .410 50 . 715 ■1 as the tax rates applied by
2007 22 .414 51 . 723 ■�
2008 22 . 395 51 . 723 other governmental units
2009 22 .435 51 . 723 ■1 have fluctuated .
2010 22 . 524 51 .000 ■1
Source: City of Fort Collins, 2011 -2012 Biennial Budget; Larimer County Assessor's Office .
TIP Strategies , Inc. Theory Into Practice 95
City of Fort Collins, CO
ECONOMY
FIGURE 24 : MUNICIPAL PROPERTY TAX BASE
Growing much faster than population on a per-resident basis
• • • • • 60 % Despite a steady mill levy, the
• - ; billions city's rising property values
2000 $7.47 50 % have raised the size of the tax
2001 $8.97 base in total as well as on a
2002 $9.32 per-resident basis .
2003 $ 10 .97 40 %
2004 $ 11 .33
2005 $ 12 .23 The growth of the tax base on
2006 $ 12 .57
2007 $ 13 .60 30 % a per-resident basis is
2008 $ 13 .91
2009 $ 14.35 particularly important. Over
2010 $14.52 the decade , the property taxCity's estimated taxable property value EIM •
base , as measured on a per-
On a _
per-resident basis ° resident basis , grew twice as
° fast as the city's population .
2000 $62,928
2001 $72 ,152 '
2002 $73 ,345 0 %
2003 $855387 Cumulative Cumulative
2004 $86,200 annual growth annual growth
2005 $92 ,297
2006 $93 ,078 rates of the city's rates of the city's
2007 $989949 population , 2001 - property tax base
2008 $9%306 2010 on a per- resident
2009 $ 100 ,429 basis , 2001 -2010
2010 $ 1005845
Source: Colorado Division of Local Government, Colorado State Data Center (population) , City of Fort Collins, 2011 -2012 Biennial Budget; Larimer County
Assessor's Office (property data) .
TIP Strategies , Inc. Theory Into Practice 96
City of Fort Collins, CO
ECONOMY
FIGURE 25 : THE MAJOR SOURCES OF THE CITY' S REVENUE
Combined sales and use taxes far outweigh property taxes as a revenue source)
Total annual levies and
• Total property tax levy collections since 1999
Restricted sales & use tax collections (USS millions)
' General use tax collections
General sales tax collections
$ 1QQ The revenue gains the city
$90 ■ ■ ■ enjoyed from rising property
$80 . values were only a small part
$70
■ of the overall revenue stream .
The city actually draws much
more of its revenues from
50
- sales and use taxes .
$40
$30
$20
$ 1Q
$ o
1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
Source: City of Fort Collins, 2011 -2012 Biennial Budget; Larimer County Assessor's Office .
TIP Strategies , Inc. Theory Into Practice 97
City of Fort Collins, CO
ECONOMY
FIGURE 26 : ALLOCATION OF THE LOCAL SALES AND USE TAX IN RECENT YEARS
While the city's mill levy rate
has held steady, the city's
■ Sales & use tax (city portion ) Capital improvements (city) sales and use rate rose by
Sales & use tax (county portion) • Sales & use tax (state portion )
0 .85% beginning January 1 ,
Cumulative sales tax (%) 2011 .
0 . 00 1 . 00 2 . 00 3 . 00 4 . 00 5 . 00 6 .00 7 . 00 8 . 00
The increase was approved
2000 1 0.75 0.80 by voters in a November
2001 0.75 0.80 2010 election . The 0 .85%
2002 0.75 0.80
incremental increase will
2003 0.75 0.80
sunset at the end of 2020
2004 0.75 0.80
2005 0.75 0.80 unless it is reauthorized by
2006 0,75 0.80 voters .
2007 0.75 0.80
2008 0.75 0.80
2009 0.75 0.80 Iles
2010 0.75 0.80
2011 0.75 0.801E
2012 0.75 0.80 0
Source: City of Fort Collins, 2011 -2012 Biennial Budget.
TIP Strategies , Inc. Theory Into Practice 98
City of Fort Collins , CO
ECONOMY
FIGURE 27 : MUNICIPAL SALES AND USE TAX BASE
Slow growth on a per-resident basis
While the bulk of the city's
Citys estimated sales & use tax base revenues come from the sales
it 20% 19 .6%
& use tax, this tax base has
2000 $1 .80 18% — grown much more slowly than
2001 $1 .98 16% the tax base over the
2002 $1 .97 property
2003 $1 .97 14% past decade . While taxable
2004 $2.02
2005 $2.07 12% sales increased in total terms
2006 $2.21 between 2000 and 2010 , this
2007 $2.25 10%
2008 $2.24 base barely grew when
20 $2.1
201010 $2.19
8% measured on a per-resident
6% basis .
City's estimated sales & use tax base
On - per-resident basis 4 o�° Although the city's population
2000 $ 15,151 2 % 1 . 1 % grew 20% between 2001 and
2001 $ 15,925 0% 2010 , the sales & use tax
2002 $ 15,475
2003 $ 15,323 -2 % base per resident grew only
2004 $ 15,403 Cumulative annual Cumulative annual 1 . 1 % . In addition , the
2005 $ 15,656
2006 $ 16,338 growth rates of the growth rates of the population growth rate was
2007 $ 16,355 city's population, city's sales & use
2008 $ 15,963 2001 -2010 tax base on a per- steady and positive . In
2009 $ 14,897 resident basis , contrast, the per resident tax
2010 $ 15,228
2001 -2010 base varied widely from -6 .7%
in 2009 to 5 . 1 % in 2001 .
Source: Colorado Division of Local Government, Colorado State Data Center (population); City of Fort Collins, 2011 -2012 Biennial Budget (sales & use tax data).
TIP Strategies , Inc. Theory Into Practice 99
City of Fort Collins, CO
ECONOMY
FIGURE 28 : MUNICIPAL DEBT BURDEN — SIGNIFICANT IMPROVEMENTS ON A PER RESIDENT BASIS
g debt For a fast-growing city, Fort
Total 20% 19 .6% Collins enjoys a surprisingly
2000 $ 188 15% lighter debt burden today than
2001 $ 187 it did a decade ago. The city's
2002 $ 1 10 %
2003 $ 172 peaked eaked at $213 million in
72
2004 $213 5% 2004 .
2005 $ 198
2006 $ 183 0 %
2007 $ 167 In 2010 , the city's overall debt
2008 $ 164 -5%
2009 $ 172 was lower than in 2000 . On a
2010 $ 179 - 10% per-resident basis , the debt
burden fell even faster from
outstanding ' - 15%
On . per-resident basis $ 1584 per resident in 2000 to
-20% _ just $ 1243 per resident in
2000 $ 1 ,584 2001 $ 1 ,505 -25% 2010 .-20 .3%
2002 $ 1 ,456
2003 $ 1 ,338 -30%
2004 $ 1 ,620 Cumulative annual Cumulative annual
2005 $ 1 ,495
2006 $ 1 ,355 growth rates of the growth rates of the
2007 $ 1 ,215 city's population , city's outstanding
2008 $ 1 ,171 2001 -2010 debt on a per-
2009 $ 1 ,204 resident basis ,
2010 $ 1 ,243
2001 -2010
Source: Colorado Division of Local Government, Colorado State Data Center (population); City of Fort Collins, 2011 -2012 Biennial Budget (outstanding debt) .
TIP Strategies , Inc. Theory Into Practice 100
City of Fort Collins , CO
ECONOMY
FIGURE 29 : VENTURE CAPITAL INVESTMENTS IN COLORADO
Quarterly VC investment volumes for the state of Colorado by industry, 1995Q1 to 2011Q1
1995 Q1 . . . . . . 2011 Q1
Industrial/Energy • • •• 6*0 000 • • • •• �• (�t� • 1 n•
Biotech • • . • • ••• • - •0 • • • • •& W• • • r
Softw are • • • • • • • • • �S• •�� ��04400 0 0 . • • • • 004906400 • • 0 0 0 00000
Financial Services • • • . 1 1 . ' • 0 .
IT Services • • • 0 is se • ••• • • • • • is • • • - • • • - • • • • - • • • • • • • • • •
Dectronics/Instrumentation • • 600960 • ' • • • ' •
Retailing/Distribution • • • . • -
Medical Devices & Equipment • - ' ' ' • • • • • - • ' • ' • • - • • • •
Computers & Peripherals • ' • • • se • 0 • • • • '
Networking & Equipment • • • • •�• 44A s• • • • • • • • • - - • •
Media & Enertainment ' ' • • •�(`S��(• • • • • • • - . • • • -
Semiconductors • • • • • •
Consumer Products & Services • • • � •� • � •
Business Products & Services • • • ' • • • ir • • • • • '
Telecommunication ISO •� �t�•t(� t� • • • • •
Healthcare Services • • • • -
Source: ThomsonReuters, PricewaterhouseCoopers Moneytree .
Bubbles sizes reflect the relative dollar value of investments by industry and by quarter
The tech boom of the late 1990s brought a wave of venture capital investment into Colorado , especially in telecom , media , network hardware , and software . A decade
later, investments in telecom , media , and network hardware are few and far between , but software has continued to pull in a steady stream of capital from one quarter
to the next, through both recessions and booms .
In recent years , Colorado's energy and biotech activities have caught the attention of investors . Venture capital now flows into these sectors as well .
TIP Strategies , Inc. Theory Into Practice 101
City of Fort Collins , CO
ECONOMY
FIGURE 30 : START- UP & EARLY STAGE VC INVESTMENTS IN COLORADO
Start- ups and early stage firms a share (%) of total VC investment volume and total VC deals
As the tech boom of the late 1990s
Share of total $ volume Share of total completed deals unraveled , venture capital investors
funneled less capital into risky start-ups and
60 % early stage companies , preferring instead to
focus on more mature investments with
50 % better risk/return profiles .
40 % By 2006 , Colorado's venture capital
AV
investments began to shift once again
° toward start-ups and early-stage ;
20 % companies . Even during the recent _
recession , capital has continued to flow into
10 % young companies at a higher rate than in
the first half of the 2000s . Over the past
0% year, at least half of the VC deals completed
Iq qq Iq Iqin Colorado have involved start-up earl
CY CY C1 Cl CY CY C1 CY CY CY CY Cl Cl CY CY ap or y-
Ln W ti co 0 o T� N ch Iq LO W ti o 0 o stage companies .
CD CD CD rn 0) o 0 0 0 0 0 0 0 0 o r
rn o a� c� rn o 0 0 0 0 0 0 0 0 0 0
r N N N N N N N N N N N
Source: ThomsonReuters, PricewaterhouseCoopers Moneytree .
TIP Strategies , Inc. Theory Into Practice 102
City of Fort Collins , CO
ECONOMY
FIGURE 31 : THE JOB BASE IN THE FORT COLLINS MSA
Two years of setback but stronger growth in the decade ahead
Job losses in the current recession have pushed the MSA's employment base
History Forecast in 2010 back down to the levels last seen in mid-2006 .
220 , 000
EMSI 's most recent forecast for the MSA shows employment growth re-igniting
2107000 in 2012 and then resuming a strong upward trajectory once again
2009000
190 , 000 ,
1807000
1707000
160 , 000
150 , 000
N M � 0 CO r� CO O O P CN CO � UO CO r� N O O K
0 C C C 0 0 0 0 0 CV N
O O O O O O O O O O O O O O O O O O O O O
N N N N N N N N N N N N N N N N N N N N N
Source: EMSI Complete Employment - 2011 .2.
TIP Strategies , Inc. Theory Into Practice 103
City of Fort Collins, CO
ECONOMY
FIGURE 32 : JOB BASE BY INDUSTRY SECTOR IN THE FORT COLLINS MSA, 2010
In most urban economies , three sectors typically lead
Government (incl . public ed . ) 271916
the job market in overall terms—retail trade ,
Retail trade 207795 healthcare , and government. Because the government
Healthcare & social assistance 197495 sector as measured by EMSI encompasses all public
Professional & technical services 169613 education , including CSU , it leads the MSA's economy
Restaurants , bars, & hotels 14,965 as the largest employer.
Construction 12,243 It is the next tier of sectors (after these first three) that
Manufacturing 117667 often tells us much about a local economy. In some
Administrative services 11 ,253 MSAs , it is manufacturing or transportation/
Property sales & leasing 11 ,086 warehousing that ranks high . In boom years , it is
Finance & insurance 97353 sometimes construction . In Fort Collins today, the
Personal & other services 77763 driver here is professional services .
Arts, entertainment, & recreation 5, 104
Wholesale trade 31805
Information & media 39444
Transportation & warehousing 31430
Educational services (excl . public ed . ) 27773
Agriculture , forestry , & fishing 27742
Oil , gas , & mining 17755
Corporate & regional HQs 558
Utilities 263
0 5, 000 10 ,000 15,000 20 ,000 25, 000 30 ,000
Source: EMSI Complete Employment - 2011 .2.
TIP Strategies , Inc. Theory Into Practice 104
City of Fort Collins, CO
ECONOMY
FIGURE 33 : JOB GROWTH BY INDUSTRY SECTOR IN THE FORT COLLINS MSA
This chart compares the MSA's four years of job
■ 2003-2006 2007-2010 growth (2003 through 2006) with the subsequent four
Healthcare & social assistance ENE years when growth was slower or falling (2007
Professional & technical services through 2010) .
Finance & insurance On a sector-by-sector basis , it was professional
Property sales & leasing =� services that drove the economy forward before the
Government (incl . public ed . ) MIME recession hit. Since 2007 , this sector has held
Administrative services MEN relatively flat.
Arts, entertainment , & recreation ME
Oil , gas, & mining `n Healthcare has proven highly resilient through the
Restaurants , bars , & hotels IN downturn , and a few smaller sectors , including
Personal & other services I INfinance/insurance .
i
Retail trade IME The brunt of job losses have been absorbed in the
Educational services (excl . public ed . ) manufacturing and construction sectors . Retail trade
Information & media �' has also taken a hit.
Corporate & regional HQs
Wholesale trade
Agriculture, forestry , & fishing
Utilities
Transportation & warehousing
Construction _
Manufacturing
(69000) (41000) (2 , 000) 0 2 , 000 41000 61000
TIP Strategies , Inc. Theory Into Practice 105
City of Fort Collins, CO
Source: EMSI Complete Employment - 2011 .2.
ECONOMY
FIGURE 34 : FORT COLLINS MSA INDUSTRY STRENGTHS RELATIVE TO THE US
Location quotient (LQ) analysis
d
U y
C d
01 j O)
= Q C 2 US average for each industry = 1 . 00
d — N
_° 0 d t _ ■ Regional strength > 1 . 25
q 2 d nsca
O O O C A V y O. w m C d
E _ E = °� Regional weakness <0 . 75
O V 0 0 L 01 0 W > _ M C C Oa N
L' O C C W C
d d _ ` .z °a � c0- ` d v c °Ea 0 r c w The property and leasing sector has a high location quotient
o A s Y m d _ E [2 e d p p Y g g
`0 a d Y a c E .� aC
o q W € E UT a but this may be due to the presence of CSU which has the
d w v o ar d = O C 0 0
s W a a _ a M 0 U a a s potential to generate above-average rental unit turnover.
2.75 More interesting among the LQs is the high rank of the
2.50 professional services sector.
2.25
2.00
1 .75
1 . 50
1 .25 O
O
1 .00 O
0.75
0. 50 O
O
0. 25
0. 00
Source: EMSI Complete Employment - 2011 .2.
TIP Strategies , Inc. Theory Into Practice 106
City of Fort Collins , CO
ECONOMv
FIGURE 35 : INDUSTRY SECTOR STRENGTHS RELATIVE TO THE US
Location quotients for the Fort Collins MSA at the 5 - digit NAICS level. Based on industries that employed at feast 400 workers in the
MSA (Larimer County) in 2010.
Locatongntainet descriptions Mexbemelyhlgh (> 300) Location onalifteradervartagoons 0 extremely high (> 300)
above average (>i 25) 0 above average (>125)
average (between 0 75 antl125J
average between 0.75 and 125)
belowavemge (<0]5) M belowaverage (<0]5)
NAICS Classification NAICS Classification
Broad sector 3-digit code & description LQ Jobs Avg. No. of Net Job Broad sector 3-digit code & description LQ Jobs Avg. No. of Net Job
Earnings Estabs. Gain (Loss) Earnings Estabs. Gain (Loss)
Man"Mang 312120 Breweries 921 $71 5]4 5 +211 A,- - � gal J0iry 5evee - 611 :C3 14 -5n
Man"
Mang 3336180ther Engine Equiprrent Manufacturer � 1208 $61,184 2 +307 _ _ .-_ 3m:-- :_ -. -as 5a15116ev+Go-p,er noprs•+n ww see Sale See %5 16 5 -557
Manuf Mang 334516 Analytical Laboratory Insinuates Manufacturing ]21 566,132 5 +175 __ _: :SS::C 2-r•er:a axis rs--rr-a B. am Cass..o- NMI -_3 i5C 3: -15-
Manuf Mang 3345151nstrunent Manufacturing for Measuring aMTestiag real and Bectreal Signals 702 $137,8011 10 -1924 _ _ ---- c_ -. :_ sro-x 3sz-s xs9- Sevices ® T 6599pa5 1% -34
Man"Mang 334111 Electronic Goopuler Manufacturing 938 Na No -409 _. ._ : ... _ _.. . _ ._ .-.. - bee Evaf ® $I; SI; S= .. -VT
Manuf Mang 334418 Rimktl Qrcud Asserrtty (Electronic Assembly) Manufacturing IM 494 $82,852 5 -497 _ .-_ : . z. c.z - EeilY all ® %T i:A46 99
Consbuctioo 238122 donresicential structural steel and precast concrete contractors IM 554 $53,801 8 +201 9ez _.. _ _Iel avd�. Etvo-a ixrn ® s5: us 3s- 33 - 9
Adninisbal services 561422 Telenerlketing Bureausand otherCntact centers 1i919 $19,755 17 +1811 -_ _: _- ee-v aver9 a-a =:xCro-ss:xls ® 619 i% %P 1:6 -47
Information &Media 511120 R6riotlical Dodderers ]12 S451]r _21 -1] _ -.: z ass's 6:au •ia: � •:n C ' ,a" C<:ma o- are ScatiI `erots av Lao a9s3 ® a-5 is-6 a5 .;I;
Inni sional&arboreal services 541712 Research and Development in the Riysical, Engineering, and Life Scerees (except BiutecM1ndogy) 1]52 $121444 32 +1488 = -. : --- - :_ SL$el nii Vv ce ® Iag Si- 111 31 -669
Rolessional&arboreal services 541620 Environrrenfal Consulting Services 406 W,241 50 +141 6e'e . .. 4411C oro Ce-x+s ® _ al 1C -ITS
Healthcare &social assistance U2310 Specialty (except psychiatric and Substance Abuse) Rbsi tab 580 $80,892 1 +580 . . : -.: - sss'Ya'tx 61 C• ] !Sts ® 1C-3 fa:Xfi 1 i
Properly sales &leasing 5311M Lessors of ether Deal Estate Property f_ 575 M1896 18 +168 _ . :. 5:392 Poe•: c ii a.ii ® 1053 us 14 -595
Finance &announce U3910 Mscellaneous hternediation 1007 $24,464 16 +746 _ . _ . - i -ass --=11 aIos :a seal ® a15C sG 175 -T55
Healthcare &social assistance U1399 Offices of All Other Miscellaneous Death Practitioners Q- 851 $22151 58 M17 . _ _ .. _ . . .-sy 53111Cs : z _ - . .e-ya S. Gros are :)a Gros ® I i:CM 5T -IN
Man"Mang 334413 Senimnductor and Related Device Wntracturng 481 $91981 5 +188 - _ - _ . e- e _ _,_ mom %95% S4 -1%
i Inn sional&arboreal services 541940 Veterinary Services M $25,925 75 +156 =. - - ® 6Cd "i 1G -14
Properly sales &leasing 5311W Lessors of oll defenses and Sef Storage Waits 870 $28,001 23 M46 a. u. ':es = - - - - c _ -_._ ® SI& s% C1: i3 -%
Construction _ 238312 borresicentialdrywallcontracturs 464 $38,175 9 -70 _ - _: . - - .- .. - . _._ _ . xa=S ® a59 631 Ica 19 -H
� ' 635 $1],68] fit + 6 u1:-y + . '- - --- " - a:-• -- . y a% li a ; 16 Retail trace 920000 Sporting Goods Stores _ . .-. - _ _ . . - _
Gos�nrmmt(incl public el) 92oo00 State9overnrrent � 11513 $38,8fi4 21 M38 rea'>-- = -- - - - - - - - -- -- - " :es :�,se as a : -: e-:- ss- gas:eis3 ® - -H iY 45a tft Ip3
Rolessional&arboreal services 541330 Engineering Services M 2017 $61]28 202 +28 a -a -es .. . -. -. _ _e Le- -es - . _ _ _ Mts ® RG aaa IN
Ards, entertainment, &recreation 713990 All Other Anmsment and Recreation Industries 481 $13,836 35 +15 Iro<ssa-a 3 _- .- .- ..- _ _ . . . _ _, . in - _ _ - _ s-Kill :o-s.-rf San ass ® --- 101 14131
Consbuctioo 238321 Residential painting contractors 522 $20,714 68 -70 ilea" eax z6639 G -110
Retail trade 453310 Red Merchandise Stores 499 $14,936 26 +114 Ca-ll - t-- -. = --- _ _ c __r. -'W e3aes ® _-- a- :a- 1S -910
Consbuctioo 238991 All other residential fade contractors 579 $16[M 45 -1 s:-a-zi z 91 ---
Retail fade 452910 Warehouse ❑ulds and Supercenters M 2206, $22523 ] +1639 be : --+ + : •-• ess'ca+_e _- s _ _ _- - _ _ _ -- - _a__ 7 ® -- 17
Retail fade 454390 Other Direct Selling BottleM1renM1s 2042 $5,616 23 +195 AY - a'O .es --
Consignation 238222 nonresidential plumbing and WAG contractors 1008 $53,251 36 +]o be : --1 : ._ _ . .-- . . .. --- - - - - - -- -- - -- - - - ® 4 - ___
Professional& tecbnical services 541990 All Other Professional. School and Technical Services 2055 $32,411 90 -422 al 3 . _ ._ _ _ _ - _ _-c_ _-- ®
Administrative services 561990 All Other Support Services _ 511 $45,357 39 -245 lea : --t s :_ _ . ... . _ __ ___ _ - -, _ _ _ ® ___ _ ___ 14 -
Presertysales &leasing 531311 Residential Ropedy Managers 1037 $17811 69 M40 ?:.e --- ___ _ _ e ® __ __ 4
Properly sales &leasing 531120 Lessors of Nonresitlernal Buildings; (except Mnuvarehouses) 1.192 $30,894 32 M31 Sir= ai• - _ . _- _- _ -_ . _ ® - --_ _ _ .s
Ards, entertainment, &recreation 711510 Independent Artists, Writes, and RerPorres �- 1928 $13,029 47 +347 C"ss :-s ioi M .- ':•s 64:11 C• -es - -e _ - - -_ - - ® --- 1C1 --
Oil, gas, &mining 211111 Crude petroleum and Natural Gas Extraction t420
0 $60,141 10 +840 "2 : sir 14.. i: r-- a - --- - -e - - -e a -e- - - - a- e-e awes ®
Ards, entertainment, &recreation 713940 Fitness and Recreational Sports centers 8 $9,420 44 M44 A<Y - 9^2- ese. ':es w=- - - - - -- - e < -ey - - - - ® --- --' -
Retail fade 453220 Gift, Novelty, and Souvenir Stores _ ] $15,003 fi] -184 '•ea :':ale i s:a ass s'a-:e __ - - _ + ® 1 5. f1: 95a 69 -.-
Consbuctioo 238911 Residential site preparation contractors $25,965 43 -81 "IS ^ex ..- _ _ ® a4 lo; u-In/a'mation8metlia 518210 Wa Processing Pasting, antl ReInted Sevices 6 $40529 1] +334 s'ez" -axELM S:C G16C: �1:3
Finance &announce 522292 Real Estate Goods 3 $61]13 1] +252 Arew>r ai se•tes _. _ _ _ < _ __ _ 1 SC S:S93C - -39:Propery sales &leasing 531390 Other Activities Relaed 6o peal Base 2 $11884 10 +686 [A-ss_:' .__. . _- _ _ - _ e_ __ __ a% SOM a1 -141
Prolr sional8lecbnica services 541fi90 0[her Scentdk aM TecM1nical Gnsufng Services 1 $39855 54 +2]] hiea4 i16Cn a
IYasandel B gae,servires 811490 Other personal antl householtl Goods Repair antl Maintenance 8 $204" 14 +2] A;'= - - - e- - -_ - - •- 'e - - - - ZCT1 =06'r 5: -3
Manuf Mang 3MI19 Other Garroter Peripheral Equiprent Wnuactutlng' 5 Na No -3,292 - _ - . - _ _... '_ - . ]C9 f154T 10 -9%
Restaurants, bars, &hafts ]22410 Qinldng Races (Alcoonal Beverages) 5 $15,319 44 -1]0 - - - - - - - - - - . . :_ _. 975 11 13
.. _ _ . - : . . x .y
Restaurants, bars, is hafts 722110 Full Service Restaurant 6423 $15,442 243 +99 - - - -- - - - - - - _es.e - -._ ,_ v . 3 . _1 SCS ell 7C: :46 -Y6
Properly sales &leasing 531210 Offices of Reat Estate Agents and Bmlkers 2942 $11146 187 +888 -z- c : 'r r - : * - -:-: -: a - sy Z. a:3 tii %1 16 -91
Transtradsim is xerebousirg 493110 General Warehousing and Storage 855 $35,211 8 -117 ce'• " - -- - - - -- '- :es San f• :n :' _r. es lea Mill 1% -1a
IWolessional&arboreal services M1219 Other Accounting Services 761 $16874 72 +174 ___-- - - - - - -.. - ea ' 61111C Sew : . x..---- - _ . ..a i sY Ltd Mt 6 v
Restaurants, bars, 8 hafts 721110 Rbtels (except cadre Races) and M+te6 2029 $207% 88 +293 - ___ _ __ Si Fl p. - -e-- -.-• i dG Si. 41 C
Restaurants, bars, &hafts 722213 Snack and donalmholic Beverage Bars 672 $11928 fi] +68 _ _ -. ..s S1anC gvre -:.v-:cs i Sic IS 369 163 -as
li wMate --:sal ar a-c 2: :-a Va'alm tom i Say S'd 691 69 -341
Note : NAICS code 334119 (Other Computer Peripheral Equipment Manufacturing) did not employ 400 in 2010, but because its losses since 2001 have been so severe, it was added back into\ the analysis for
reference purposes.
Source: EMSI Complete Employment - 2011 .2.
TIP Strategies , Inc. Theory Into Practice 107
City of Fort Collins , CO
WORKFORCE
FIGURE 36 : TWO SCENARIOS OF JOB PERFORMANCE : NATIONAL TRENDS VS . LOCAL TRENDS
Employment growth history (2002 - 2olo) and forecast (2011 -2021)
Dark shading represents
MSA SUS the local median; yellow
bar represents the national
+ 5% range between the loth
forecast —►
+4 % and goth percentiles.
+ 3 % Job growth in the MSA over the
+ 2 % past decade outperformed the
+ 1 % national average in most years . ;
o The MSA's recovery is a little slow,
+ 0 /o
but EMSI forecasts job
performance here to pull ahead of
-2 % the US average in 2012 , then
° regress back toward national
-3 /o
trends .
-4 %
-5 % '
N M qq to O ti co O O N M � Ln to ti co O O
O O CDO O O O O N N
O CD O O O O O O CD O O CD O CD O CD
N N N N N N N N N N N N N N N N N N N N
Source: EMSI Complete Employment - 2011 .2.
TIP Strategies , Inc. Theory Into Practice 108
City of Fort Collins , CO
WORKFORCIF
FIGURE 37 : MEDIAN HOURLY WAGE RATE BY OCCUPATIONAL GROUP
MSA median wage presented in the context of the national wage range
$85 Circle represents the county median; line
$80 represents the national range between the loth
$75
$70 and Both percentiles
$60
$55 Skilled workers in the Fort Collins MSA draw higher salaries
50 I than other occupational groups . Engineers, computer
$
$45 scientists , healthcare professionals , attorneys , educators ,
$35 scientists , and managers command the MSA's highest
$25 • • • i I median wages .
$20
15 • • • p pp• • At the other end of the s ectrum , support workers in food ■
$ 10 j - • - - • - -•-.T�-0-�- 0—�
services and property maintenance earn median wages that
$5 skirt just above the minimum wage .
$0
d R to "F M M C C d Vl
.0 :6 N o E N O O O N 2 = d V R V C
'o ; a w E ; �, Engineering professionals are by far the MSA's best paid
7
w *= w rn °� y N rn N 2 co � y � occupational group .
06 R °� m c d > a d > C f6 LA c
rn :� co V "' v c y v N
w C U N U f�0 O i C l�4 N y '= RCkd
T L L N N O = O U 'R U E d
E w+ N 0 _ °a L
ca
0 w V y f6 t)
a O_ C Q O C a V5 E ad 'y O 2 E •.O_.
E O_ f° E ad O c y s v C16 v
o �a E d U .0 d a 7
LL LL 0 O U
M V N � LLI L2
H O C m J O
U
Source: EMSI Complete Employment - 2011 .2.
TIP Strategies , Inc. Theory Into Practice 109
City of Fort Collins, CO
WORKFORCE
FIGURE 38 : FORT COLLINS MSA ' S 2010 JOB BASE BY OCCUPATIONAL GROUP
More than one-quarter of the MSA's workers are employed in
Sales 277890 occupations that involve sales or office administration . This is
Office & administrative support 22,075 not an unusual occupational pattern in an urban county.
Management 00157221
Food preparation & serving 13,447 Even though the MSA has a high LQ for professional services ,
Education , training , & library 107949 it's notable that the occupational groups that contribute to this
Business & financial operations 107691 sector -- computer specialists , engineers , scientists -- each
Construction & extraction 107586 provide only about 4 , 000 to 5 , 000 jobs in the MSA. These are
Healthcare (technical ) 99269 relatively small numbers compared to , say, food service
Production 8A87 workers who number 13 ,000 .
Arts , design , & media 77609
Transportation & material moving 77370
Property maintenance 61621
Installation , maintenance, & repair 59895
Personal care & service 59854
Computer & mathematical science 47959
Architecture & engineering 47770
Science 7937
Healthcare (support) 31580
Protective service 29687
Community & social services 2,412
Legal 19103
Military 812
Farming , fishing , & forestry 802
0 5,000 10 ,000 15 ,000 205000 25,000 30,000
Source: EMSI Complete Employment - 2011 .2.
TIP Strategies , Inc. Theory Into Practice 110
City of Fort Collins , CO
WORKFORCE
FIGURE 39 : FORT COLLINS MSA' S OCCUPATIONAL GROUP CONCENTRATIONS
Industries by row; occupations in columns
J��o, Location quotient (LQ) analysis
yacl a�F° co
`°eye�c cad ec `o°' a�`'°moo oo'
��oaxec` �, �`°e a�`Je`a\eee��.°c4e ���° �`, `e`o�yeci �ar°`a�a�a`a ee�� US average for each industry = i. 00
e dip
�c ° a a . cA
O JQQ° .`e & *0 yo a`o �e� '.�.` °�� ac .od 4se eo
e . 0 y e� ce ` 4r 4` •.� ca �e ,��o a` O 4r 4r
qq a'� e� eyaF tia o a o e� a� �, •�o o �e Regional strength > z . zs
b
cyo � a> ae° 0 �'bo • ° o
Q � � 4o � 4NA ey � y`r°iti ee or cl�
Regional weakness < 0. 75V 0 6 Q V � �
3. 00 - - _- - --
Even though the MSA supports fewer than
2. 75
4 , 000 science-related jobs and 5 , 000
2. 50 engineering-related jobs , these occupational
2. 25 groups are large enough to generate relatively
2, 00 0
high location quotients .
1 ,75
1 ,50
1 ,25 ------ ------- ----- 0 O O O
1 , 00 - -------- 00 00000
0. 75 --- -- O -------- --------
0. 50 O - -
0. 25
0. 00 -
Source: EMSI Complete Employment - 2011 .2.
TIP Strategies , Inc. Theory Into Practice 111
City of Fort Collins, CO
WORKFORCE
FIGURE 40 : FORT COLLINS MSA ' S OCCUPATIONAL JOB TRENDS, 2007 THROUGH 2O3.0
A wide gap in the types of jobs gained and lost
The MSA's job performance over
the past four years has differed
r 2007 2008 2009 2010 3-year
Net sharply across occupational groups .
Change Blue-collar jobs in construction ,
Business & financial operations ��I +1 ,771
- - - - - - production , and transportation have
NeaffFicare technical + 1 ,484
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - a- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
Management �� + 1 ,019 suffered relatively heavy losses.
- - - - - - - - - - - - - 4 - - - - - - - - a- - - - - - - - -
Sales I +885
Personal care &_ service �■ +757 Other occupations have held up well
- - - - - - - -C�ice & administrative sii - - - -off - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - +soa
ucation , training , i rary �■ +588 during tough times . Jobs in
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
Healthcare sii ort +548 business, healthcare , management, ;
Computer & mathematical science _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ +505
�4rts, cfes'i n; $� media ■i +391 education , and computers have _
ommunity socia services 111 +317 turned in gains over at least three of
- - - - - - - - -Protective service - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - +309 .
roperty maintenance +265 the past four years (if not all four) .
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - Milita - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - I� - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -+ 115
ega I +82
0o re aration & sermon I +76
arming , is ing , forestry +2
- - -
S.cie nce -67
nsta a ion , mam enance, repair I� -274
- - - - - - - - - - - - - - -Architecture -&- engineering -277
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
aransportation &_maferil moving I� -686
-Production - - - - - - - - - - - - - - - - _1 , 176
onstruc ion ex ra ion -2,877
0 0 0 0 0 0 0 0 0 0 0
0 LO 0 L o L + LO 0 LO 0
v N C r ' + Tm Tm N
+ + +
Source: EMSI Complete Employment - 2011 .2.
TIP Strategies , Inc. Theory Into Practice 112
City of Fort Collins , CO
WORKFORCE
FIGURE 41. : EDUCATIONAL ATTAINMENT INDICATES STRONG LOCAL SKILLS AVAILABILITY
Highest level of education achieved by the population age 25 or older
no high school diploma Educational attainment
high school diploma or GED
some college but less than a 4-year degree levels in the Fort Collins
bachelor's degree or higher
compare to next MSA are well beyond the
exhibit state and national
averages . Some 41 % of
USA Colorado i Fort Collins City of Other the MSA's adult residence
MSA Fort Collins Larimer County
have a 4-year degree or
higher. In the City of Fort
i
Collins itself the
i attainment rate is 49% .
• ' , Educational attainment of
r'40 4 the non-Fort Collins
i i residents of Larimer
• County is much lower
i
than that of the City of
Fort Collins . Only 35% of
the adult residents have
earned a bachelor degree
or higher and 25% have
only a high school
diploma or GED .
Source: U .S. Census Bureau (American Community Survey, 2009) .
TIP Strategies , Inc. Theory Into Practice 113
City of Fort Collins, CO
WORKFORCE
FIGURE 42 : . . . YET THE JOB BASE IN THE MSA IMPLIES WEAK DEMAND FOR SKILLS . . .
The threshold skill level required of the MSA 's existing job base
On-the-job training or previous experience While the MSA's educational attainment rates are outstanding , the
Vocational or 2-year degree job base is a bit perplexing . According to the American
4-year degree or higher
Community Survey, 41 % of the MSA's adults age 25 or older hold
a 4-year degree or more . Yet an occupational analysis of all the
2001 2011 2021 current jobs in the entire MSA in 2011 shows that only 27% require
a 4-year degree .
Part of this discrepancy can be explained by the mismatched data
sources themselves . Educational attainment includes residents of
the MSA age 25 or older, regardless of place of employment. The
graph above represents the MSA's total job base (including part-
time work and work held by those under the age of 25 or those
• ' , living outside the MSA) . This helps explain part of the data
discrepancy, but certainly not all .
Source: EMSI Complete Employment - 2011 .2.
TIP Strategies , Inc. Theory Into Practice 114
City of Fort Collins, CO
WORKFORCE
FIGURE 43 : . . . EVEN THOUGH SOME EMPLOYERS STRUGGLE TO FIND THE SKILLS THEY NEED -
147 H18 applications were filed in the City of Fort Collins in FY 2010
H 1 B applications by approval status H 1 B applications by employer
38 Colorado State University
7 Advanced Energy Industries
Certified 6 Avago Technologies US
Denied certification Advanced Micro Devices ; Centers for Disease Control & Prevention DHHS;
Withdrawn before certification 5 Larsen & Toubro; Palladius
Certified but later withdrawn 4 USDA Agricultural Research Service; Wipro
3 Cherokee Services Group; LSI Corp; New Century Software; Pacesetter
International
Apolent Corp; Fujitsu America; HP Enterprise Services ; Intellectual
Business Resolutions ; International Technology Solutions ; JSMN
2 International; Object Technology Solutions ; One Tribe Creative; Otterbox
FCDC; Pelco; Poudre School District; Rocky Mountain Bird Observatory ;
SRM Technologies
H1 B applications by occupational group Acnovate Corp; AT&T; Ayres Associates ; Beckman Coulter; Broadcom
Corp; Cambridge Healthcare; Columbus Technologies & Services ; Cyber
Sphere; DGN Technologies ; ESC Engineering ; Front Range Community
Computer & mathematical science 56 1 College; Hew Iett Packard Company ; Mindlance; New Belgium Brew ing
Life , physical , & social science 32 Company ; Nexlink Systems ; Punatar; Software Specialists ; Sogeti USA
Architecture & engineering 25 ESAB Group; Tollmar; Turning Point Center for Youth & Family Development;
Education , training , & library 10 IiIIIIIIIIIIIIIm Vedi Technologies ; V-Soft Consulting Group; Zeninfotech
Management 7
Business & financial operations 6 M
Arts , design , & media 5 ■
Healthcare (technical ) 3 1
Community & social services 2 1
Sales 1
Source: US Department of Labor, Office of Foreign Labor Certification .
Yet even if Fort Collins suffers from underemployment of existing residents , a few employers still struggle to find the skills they need . In FY 2010 , employers seeking to
fill vacancies within the City of Fort Collins filed 147 applications for H1 B visas for their employees . About 4 of every 5 applications were approved . Most were in fields
relating to computers , science , or education . CSU filed the most applications (which includes things like post-doc work) but many of these H1 B applications came from
high tech companies looking to fill local jobs.
TIP Strategies , Inc. Theory Into Practice 115
City of Fort Collins , CO
APPENDIX B : SUMMARY OF PUBLIC INPUT
Interviewees and Focus Group Participants
Ajay Menon , CSU , College of Business Dr. Joe Giles , MicroRx Kelly Peters, NCEDC
Ali Shore , Poudre School District Dr. Morgan DeFort, Engines & Energy Conversion Laboratory Kevin Cory, Vestas
Andrew Dorsey, Front Range Community College Dr. Terry Opgenorth , NeoTREX Laurie Hansen , Intel
Ann Hutchinson , Fort Collins Area Chamber Emily Wilmsen , Public Relations Lynn Vosler, Front Range Community College
Anne Lance , Teaching Tree Early Childhood Education Gordan Thibedeau , United Way Mark Kollar, St. Renatus
Audrey Russell , Spirae Guy Babbitt, CETIC Mark Wdowik, CSURF , CSU Management Corp.
Beth Flowers , Beet Street Hill Grimmet, Be Local Matt Robenault, DDA
Brian Fabrizio, New York Life Jamie Grim , Fort Collins Area Chamber Nathan Klein
Brian Janonis, Utilities Jeff Throckmorton , CWIC Peter Byrne, Crashboxx Telematics
Carla Starck, Small Business Development Center Jill Shoemaker, St. Renatus Phyllis Abt, Front Range Community College
Casey Brunson , CSU Jim Clark, Convention & Visitor Bureau Rick Hausman , Benchmark Realty
Clint Skutchan , Fort Collins Board of Realtors Jim Palmer Rulon Stacy, PVHS
Constance O' Brian , KIRA Joe Bixler, Ranchway Feeds Ryan Shaffer
Cristin Keohan , Advanced Regenerative Therapies John Long , ZeroHero Events Ryan Speir, RMI
Curt Richardson , Otterbox Judy Dorsey, CCEC Steve Dush , CDNS
Dan Garvin , Colorado Iron & Metal Julie Brewen , Fort Collins Housing Authority Steve Wooley, Avago
Darrin Osborn , Fort Collins Marriott Justin Discoe, Sprig Toys Stu McMillen
David May, Fort Collins Area Chamber of Commerce Kate Hagdorn , The Neenan Company Tim Reeser, Cenergy
Don Boxley, DH2i Company Kathy Dotson , Larimer County Workforce Center Todd Headley, CSURF, Tech Transfer
Dr. Joe Giles , CSU , Research Innovation Center Kelly DiMartino & Kim Newcomer, CPIO Torsten Eckstein , Eckstein Diagnostics , Inc.
Public Input Summary
■ The partnership between Colorado State University and the City of Fort Collins is particularly strong and CSU 's commitment to the economic health of Fort
Collins is a huge asset to the community.
■ The city is providing much needed and much appreciated support for entrepreneurs and for redevelopment through RMI and the economic development
toolbox , but many individuals and businesses are not aware of the services available . Most businesses , of all sizes , felt well-supported and encouraged by
TIP Strategies , Inc. Theory Into Practice 116
City of Fort Collins , CO
the city's Economic Health Department and other city staff. Some large employers , businesses , and developers , however, do not perceive Fort Collins to be
business-friendly in comparison to other communities where they have locations . Some feel over-burdened by city regulations , which often add significantly
to development and expansion costs (they do not disagree with the intent of the regulations but note that unintended side effects of regulations are not
evaluated regularly) . Other business feel the length of time the city council takes to review and make decisions on development issues adds to the
unpredictability of the development review process and adds to their development costs .
■ Talent, both young and entrepreneurial , is naturally attracted to Fort Collins . Employers generally do not have problems finding the talent they need , with
the exception of certain engineering and technical occupations (which face nation-wide shortages) . Entrepreneurs find the local capital network to be closed
and unstructured while job-seeking talent find the local labor network closed and inaccessible .
■ The Fort Collins' innovation ecosystem produces great ideas and many start-ups . Retaining those start-ups appears to be a challenge . Reasons include
access to capital , executive-level talent, and suitable sites and buildings .
■ Fort Collins has a strong network of public sector and non-profit organizations whose mission and activities contribute to the economic health of the
community. Yet there is little coordination of these activities as they pertain to economic health .
■ The City of Fort Collins is an active participant in partnerships with CSU , other public sector entities , and the private sector that support innovative projects
that promote sustainability and better resource management.
■ The City of Fort Collins does not actively recruit or attract companies to the community. However, many brokers , developers , and land-owners are actively
marketing Fort Collins to recruit tenants to Fort Collins .
■ Fort Collins is a strong regional center. Though its strength as a retail hub has eroded recently, it is still a major entertainment center, attracting residents of
Loveland , Greeley, Windsor, and Cheyenne — particularly young professionals .
TIP Strategies , Inc. Theory Into Practice 117
City of Fort Collins , CO
Opportunity Workshop Participants
Christina Vincent, City of Fort Collins Megan Bolin , City of Fort Collins
David May, Fort Collins Chamber of Commerce Rocky Scott, Woodward
Guy Babbit, Czero Ryan Speir, RMI
Joni Friedman , Larimer County Workforce Center Steve Wooley, Avago
Josh Birks , City of Fort Collins Todd Headley, CSURF
Kathy Dotson , Larimer County Workforce Center
In September, we held a workshop with stakeholders to discuss the primary opportunities for Fort Collins . The opportunities that came out of this workshop are listed
below:
■ Innovation Ecosystem & Economy
- Advanced manufacturing facility for prototyping and early stage production
- Relationship map to connect entrepreneurs with Fort Collins capital and technical know-how
- CSURF — College of Business Innovation Lab
- Partnership with ACE project
- Conference strategy tied with economic health goals
■ Talent Management
- Workforce development / education "guru" for strategic engagement of business community
- High school internship program
- Mechanism to engage 1099ers
- Worker readiness
- Leveraging CSU Alumni network
■ Community Assets & Infrastructure
- Deeper understanding of data , metrics , benchmarks , & best practices
- Prospect tech park
- Downtown conference center & entrepreneurial village as a system of "third places"
- Interaction with river
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City of Fort Collins, CO
Austin Visit Attendees & Outcomes
Bruce Hendee , City of Fort Collins Mike Freeman , CSURF
Bryan Willson , CSU , Engines & Energy Conversion Lab Tim Reeser, CSU Ventures , Cenergy
Darin Atteberry, City of Fort Collins Todd Headley, CSU Ventures , Technology Transfer
Dawn DeTienne, CSU , College of Business Wade Troxell , CSU and City of Fort Collins
Josh Birks , City of Fort Collins
A delegation from Fort Collins travelled to Austin in October 2011 to meet with peers and peer organizations in Austin to explore themes of entrepreneurship, innovation ,
business retention and expansion , technology commercialization and transfer, and industry cluster development. At the end of the trip, the group held a debriefing and
brainstorm to distill and refine the "big ideas" for Fort Collins' Economic Health Strategic Plan (EHSP) . The following ideas were what came out of this exercise :
■ RMI as an innovation hub , acting as the connective tissue in the innovation ecosystem
■ Formalizing the City of Fort Collins' relationships with service providers to enhance the coordination of a city-wide economic health initiative
■ Research consortia as a means to growing emerging industry clusters
■ Mechanisms for building a more robust capital network to support entrepreneurs
■ A hotel / conference center in partnership with CSU
■ Increasing CSU 's (in particular the College of Business) roll in business formation
Draft Plan — Feedback and Revisions
A draft plan was presented to the City in December 2011 . The plan has been presented to and reviewed by the following groups:
■ City Staff — December 2011 — January 2012
■ City Council — December 2011
■ Economic Advisory Commission — December 2011
■ Stakeholder Workshop — December 2011
■ Public Open House — February 2012 (35 attendees)
As a result of this input, the plan was restructured . Certain recommendations were added and some were moved to different objectives . The core of the plan still remains
the ideas generated from the Austin Visit and the Opportunity Workshop.
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APPENDIX C : BENCHMARK RESEARCH
As part of the planning process, TIP Strategies identified peer communities to benchmark economic development programs . The peers chosen were :
■ Charlottesville , Virginia ;
■ Gainesville , Florida ;
■ Corvallis, Oregon ; and
■ Ann Arbor, Michigan .
These peers were chosen because of they share common attributes with Fort Collins . Below is a summary of these characteristics :
Fort Collins, CO Ann Arbor, MI Charlottesville, VA Corvallis, OR Gainesville, FL
Population ' 299 , 630 3441791 2011559 202 ,251 2641275
University (Ranking2) Colorado State University of University of Virginia Oregon State University of Florida
University (#128) Michigan (#28) (#25) University (#138) (#58)
Distance of Major Airport 70 mi to DIA 27 mi to DTW 78 mi to RIC 90 mi to PDX 80 mi to JAX
Scenic Appeal / Outdoor Recreation V/ V/ V/ V/ V/
Culture Values Sustainability, Arts, Quality of Life �/ V/ V/ V/
Actively Support Entrepreneurship / Innovation V/ V/ V V/
Family Friendly / Not a Retiree Destination V/ V/ V/ V/ V/
Federal Labs or Research Centers V/ V/ V V/
Boutique Industries Microbreweries Vineyards, Vineyards
Microbreweries
2010 US Census, Total Population County for MSA. Corvallis includes Albany-Lebanon Micropolitan Area.
22011 US News and World Report Rankings
For each peer, TIP conducted an interview with the primary economic developer of the community. On the following pages , a profile of each peer is presented along with
a summary of each economic development organization's best practices , according to the interviewee .
TIP Strategies , Inc. Theory Into Practice 120
City of Fort Collins , CO
Charlottesville , Virginia
Web Site : http ://www.charlottesville .org/Index.aspx?page=26
What is the primary focus of the city's economic development program (e.g . BRE, attraction, economic gardening, cluster development, etc)?
The small office is broadly focused , but has paid special attention to workforce , small business/entrepreneurship assistance and technology for about the past
decade . The city has done some work on sustainability, facilitating a series of workshops for local businesses , including a recent one on how to reduce energy usage
and costs .
How many people are on staff in the city's economic development department (or equivalent)?
The office has four staff, including a director, assistant director, economic development specialist and office administrator. The office also coordinates and
administers the functions of the Charlottesville Industrial Development Authority, which issues revenue bonds and assists with front end capital for projects .
What is the budget?
The budget for the office is approximately $597 ,000 in general funds .
What are the primary economic development programs I initiatives the department funds?
The budget covers staff salaries and smaller programs . However, the city has a separate strategic initiatives fund for road projects or other business development
infrastructure projects that need gap funding . The amount in the fund varies , but it currently has about $ 1 . 5 million and gets replenished through the CIP process .
Is there also a chamber and/or economic development corporation that is active in economic development?
There are several other economic development organizations in the area including the Charlottesville Regional Chamber of Commerce and the Thomas Jefferson
Partnership for Economic Development (regional umbrella group for Charlottesville and 8 surrounding counties that among other things hosts the region 's small
business development center) .
What is the program or initiative that has had the greatest success over the past 5 years?
A few years ago , the city launched a successful shop local program called "Shop Charlottesville . " Another successful partnership is the city-wide , technology zones
that enable tech-based companies to receive reduction in their business professional occupancy license tax.
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How does the city partner with the university in terms of economic development, including innovation and entrepreneurship?
The University of Virginia had a change in leadership about two years ago and has reorganized and created an office of commercialization and innovation
partnerships . The university is reportedly trying harder to engage the external community and has also recently established a new office of economic development.
The city now holds informal meetings with the university's chief economic development person on a regular basis .
There is an incubator located downtown that received financial support from the city and is housed in a city building .
Does the city have any programs to promote entrepreneurship and innovation? If so, what makes their program(s) successful and what poses the greatest
challenges?
The incubator is one of their main programs to promote entrepreneurship and innovation in Charlottesville . The main challenge has been that it was started with
minimal resources and it doesn't have a permanent staff (it has a volunteer executive director) , which makes it difficult to engage in marketing and other activities .
Does the city have any programs specifically aimed at engaging the student body of the university?
There is a group at the University of Virginia called the "E society" made up of undergraduates interested in entrepreneurial activities . The city often partners with this
group for different events , often with the local technology council , which is called the Charlottesville Business Innovation Council .
The University of Virginia's Darden School of Business operates a Center for Entrepreneurial Leadership.
The Charlottesville Business Innovation Council (CBIC) organizes day-long technology tours for local middle and high school students called "Tech Tours . " The tours
were launched to expose local students to the challenging and diverse career possibilities offered by the region's technology community.
Best Practices
The city launched a Job Fair three years ago with great success . The job fairs , which are reportedly the largest in Central Virginia , are held twice a year. The most recent
job fair attracted 70 employers and more than 1 , 300 job seekers . In advance of the actual job fair the city and its partners organize workshops on interview techniques ,
resume writing , dressing for success , etc.
The most recent job fair was sponsored by the City of Charlottesville in partnership with the County of Albemarle , the Adult Learning Center, the Department of
Rehabilitative Services , the International Rescue Committee , National College , Piedmont Virginia Community College , OAR, Piedmont Workforce Network, the Virginia
Employment Commission and the Virginia Workforce Center.
Job opportunities for local university graduates are scarce and only a small percentage of graduates actually land a job in the Charlottesville area despite the fact that
people want to stay in the region because of its high quality of life .
TIP Strategies , Inc. Theory Into Practice 122
City of Fort Collins , CO
Other examples of best practices :
• The T100 Alumni Mentoring Program offers University of Virginia alumni the opportunity to guide start-up companies that have research origins at the University.
T100 members provide hands-on mentoring and financial contributions to support companies as they evolve from concept to commercial enterprise . Mentors
participate in a monthly conference call to help their team advance the commercial promise of the technology . University of Virginia . -related start-up companies
and University alumni are invited to join the T100 Alumni Mentoring Program . The program is run by the University of Virginia , Office of Economic Development.
For more information , visit: http://www.virginia.edu/vpr/industry/Tl00 . html
• OpenSpace , located just off the Downtown Mall at 455 Second Street SE , opened its doors to local professionals and entrepreneurs for their work and meeting
needs in October of 2009 . As the City Is most recently constructed Class A office space , the facility offers over 6 , 000 square feet of space designed to
accommodate the changing world of work. OpenSpace features collaboration studios , a traditional conference room , expansive worktables , kitchen and lounge
areas to serve the needs of professionals who need a place to work without the responsibility of a lease . For more information , see www.getopenspace .com
Other web site resources of interest:
Charlottesville Business Innovation Council - www.cvillebic.org
CBIC is the preeminent private-sector advocate and catalyst for entrepreneurship and technology-based economic development in the Charlottesville, Virginia region
Thomas Jefferson Partnership for Economic Development - www.t'ped . com
The Thomas Jefferson Partnership for Economic Development is a 501 (c) 6 non-profit, public / private partnership formed in 1995 to help create new jobs and investment
in the Greater Charlottesville Region. The partnership has recently integrated staff and resources with the Piedmont Workforce Network and Central Virginia Small
Business Development Center to expand its services for existing businesses, entrepreneurs, job seekers and employers.
The University of Virginia Office of Economic Development-http ://www.virginia .edu/vpr/industry/
The UVA Office of Economic Development serves faculty, students, alumni, corporate and community partners by fostering connections to the programs, services, and
networks that support innovation and economic growth, both within and outside the university.
TIP Strategies , Inc. Theory Into Practice 123
City of Fort Collins, CO
Gainesville, Florida
Web site: http ://www.gainesvillechamber.com/Economic-Development. aspxx
What is the primary focus of the city's economic development program (e.g . BRE, attraction, economic gardening, cluster development, etc)?
The Chamber's economic development's arm is called the Council for Economic Outreach (CEO) . According to the web site , "CEO's charge is to assist existing
businesses through expansion , to help grow new companies in our community and to attract new opportunities to Alachua County . "
According to David Ramsey, Senior Director of Economic Development, the CEO focuses on : ( 1 ) growing new business/entrepreneurism , (2) business retention and
expansion and (3) recruitment and marketing . A special emphasis is placed on new business development and entrepreneurism .
How many people are on staff in the city's economic development department (or equivalent)?
The Council for Economic Outreach has a staff of 3-4 people . They share a CEO with the Chamber of Commerce . Two of the staff are devoted to economic
development, one staff is devoted to Innovation Gainesville (an ED plan funded by the Chamber/CEO that focuses on how to grow new companies) and there is one
communications person .
The City of Gainesville had a director of economic development. However, that position has been absorbed into the city's planning department. The County just brought
on an economic development coordinator in charge of economic development for the county.
What is the budget?
The CEO is 100% privately funded organization . The CEO and the chamber of commerce are separately funded . Neither organization is under contract with any other
public entities . Both the chamber and the CEO have a very close relationship with the University of Florida . Gainesville has one high tech incubator, two life science
incubators , a general incubator and a private incubator—all located downtown .
What are the primary economic development programs/initiatives the department funds?
The primary economic development initiative in Gainesville is known as Innovation Gainesville . See www. innovationgainesville . com for more details .
Is there also a chamber and/or economic development corporation that is active in economic development?
As described above , the CEO is the lead economic development organization in Gainesville. The CEO is an arm of the chamber of commerce. The city's economic
development function is primarily planning , while the county recently added an economic development coordinator position .
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City of Fort Collins, CO
What is the program or initiative that has had the greatest success over the past 5 years?
According to David , the iG Initiative is hands down Gainesville's most successful initiative over the past five year years . The strategic plan , which was developed with the
assistance of "New Economy Strategies" was released about two years ago . The plan promotes "connectivity" and entrepreneurship by developing an "innovative
infrastructure" that supports entrepreneurism .
According to David , the initiative "fundamentally changed " the way they do economic development and brought together what was previously a very polarized community.
How does the city partner with the university in terms of economic development, including innovation and entrepreneurship?
The CEO serves as a conduit/liaison between business community and the University of Florida .
The Economic Development University Community Committee—brings OF/ED/civic leaders together as an advisory committee .
Innovation HUB is a University of Florida program , a 50 , 000 square foot building home to life science and high tech companies , VC and angel investors and the
university's tech transfer office . The project serves as the anchor for the entire redevelopment project of downtown Gainesville .
Does the city have any programs to promote entrepreneurship and innovation? If so, what makes their program(s) successful and what poses the greatest
challenges?
The city owns Gainesville Technology Enterprise Center (Gtech) , one of the high tech incubators . However the CEO manages the program .
Does the city have any programs specifically aimed at engaging the student body of the university?
The CEO works closely with the college of engineering placement office .
Best Practice
According to the web site, "Innovation Gainesville (iG) began as a community initiative to harness innovation to create jobs in health and green technologies and thereby
to raise the standard of living in our community. IG has transformed into a cultural mindset with hundreds of individuals and organizations working to grow an environment
that fosters innovation and success. "
The tagline of iG is "We make cool things happen . " The initiative is being touted as "a way of life" and includes a strong marketing/branding/public relations component,
including extensive use of videos and a blog . In addition , iG has produced two-sided business cards describing all the positive attributes of Gainesville and the group's
"elevator speech ." Innovation Advocates (iG volunteers) are encouraged to distribute these business cards far and wide .
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iG has also created a "knowledge road map" that reportedly includes "more than 30 unique tactics and strategies to expand economic opportunities ." The plan includes
detailed metrics and specifies short, medium and long-term goals .
Organizationally, iG has created four teams of volunteers : Communications , Talent, Partners and Innovation Advocates . Volunteers are asked to take an iG Pledge and
are given a list of specific things they can do to fulfill that pledge such as wearing an iG t-shirt to mentoring a student to hiring an at-risk high school student to or become
an iG Advocate and hand out business cards , memorize the elevator speech .
Some interesting facts from the iG web site :
• The University of Florida was ranked #1 Public University for transferring research discoveries to the marketplace .
• Gainesville has more incubators per capita than any other U .S . city.
• OF TechConnect clients have garnered over $500 million in private investment and created over 500 high tech jobs in the past seven years . For more
information on OF TechConnection , visit http ://www. research . ufl .edu/otl/techconnect. html
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City of Fort Collins, CO
Corvallis, Oregon
Web site : http://thebec.com
What is the primary focus of the city's economic development program (e.g . BRE, attraction, economic gardening, cluster development, etc)?
The Business Enterprise Center (BEC) is a 501 (c) non-profit business accelerator that works with early-stage companies in a supportive entrepreneurial environment.
The goal of the BEC is to strengthen the local economy by nurturing successful firms so that they become financially viable and independent, with the potential to create
jobs, commercialize new technologies and strengthen the local economy. The BEC has worked with more than 160 companies since its beginning in 1988 .
How many people are on staff in the city's economic development department (or equivalent)?
Currently, the city does not have an economic development staff. For the past few decades , the city has traditionally run its economic development program through a
contract with the chamber of commerce or another entity. In July 2011 , the city transferred the economic development function from the chamber of commerce (which is
now focusing more on traditional chamber roles) to the BEC .
However, the new mayor decided in 2010 to form a nine-member economic development commission , which was charged with studying the issue of how to best structure
an economic development department. The commission is in the process of presenting their ideas to the city council and will reportedly recommend that the city create
an economic development position within the city (with county support) .
The BEC currently has 3 part-time staff, including a program manager, a planner/researcher and someone who assists Bill (who is retired) . Bill is an independent
contractor in charge of the Sustainability Enterprise Zone and also acts as a single point of contact for marketing land for industrial development.
What is the budget?
The BEC is funded through a mix of fees (paid by businesses for services) and grant funding (including state economic development funds) . The BEC has been around
for about 23 years and the city has funded them for about eight of those years at varying levels (from $6 ,000 to $30 , 000 . During the same period , the county has funded
the BEC for about four-five years for as much as $40 , 000/year.
To do a good job with an accelerator, Bill recommends to plan on at least $ 150 ,000 to support it, ideally $200 , 000 . The rock bottom minimum is $55 , 000/year with a pool
of about 30 companies at any one time .
The BEC recently relocated from a 9 ,000 square foot facility at the airport to a 3 , 000 square foot facility downtown . They are currently coaching seven companies .
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What are the primary economic development programs/initiatives the department funds?
The primary focus in Corvallis is entrepreneurism and "home-grown" new business development.
Is there also a chamber and/or economic development corporation that is active in economic development?
At one time , the former city manager counted as many as 14 different organizations in charge of economic development in Corvallis . In an effort to coordinate efforts , the
city formed a group called the Economic Vitality Partnership . An initiative/study called "Prosperity that Fits , " which was later produced by another group called the
Economic Development Partnership . The city paid for the "Prosperity that Fits" study and the Economic Development Partnership eventually merged with local chamber.
In addition to the BEC and Chamber of Commerce , active groups include the Small Business Development Center and the Willamette Innovators Network, which holds an
annual conference each November which draws in more than 1 ,000 participants .
What is the program or initiative that has had the greatest success over the past 5 years?
The Willamette Angel Conference (WAC) is a business plan competition that started three years ago . The conference rotates between University of Oregon/Eugene and
Oregon State University and is hosted by Chamber of Commerce . Last year's prize was $200 , 000 . The university's support the WAC by providing the facility and
supporting services and offering a sponsorship (around $5 , 000) .
The WAC is Corvallis' most successful and visible program/best practice . It is supported by two additional programs : the Willamette Innovators Network (WIN) and the
Will it Fly (WIF) , which meets the first Thursday of every month and charges entrepreneurs $50 to help evaluate their ideas and flesh out their business plan .
How does the city partner with the university in terms of economic development, including innovation and entrepreneurship?
The city of Corvallis' most important asset university in is Oregon State University with its $270 million research budget. Rogue Wave Software is an example of a
company successfully incubated at university which went from a company of two persons to IPO .
Oregon State University recently negotiated a MOU with the city. Rick Spinrad , is the Vice Provost for Research , and is one of the city's Economic Development
Commission members .
Does the city have any programs to promote entrepreneurship and innovation? If so, what makes their program(s) successful and what poses the greatest
challenges?
The BEC is the program in the area promoting entrepreurship and innovation . The biggest challenge is stabilized funding and access to capital for start-up companies.
The area's entrepreneurs have amazing technology/ideas, but there is not a large enough "deal flow" in the region like in Silicon Valley.
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Does the city have any programs specifically aimed at engaging the student body/alumni/faculty of the university?
The city has a good workforce training program and Oregon has a strong community college system .
Best Practice
The best practice for Corvallis is the Willamette Angel Conference described above .
Other web sites of interest:
• http ://www. corvallischamber.com/
• http://www.willametteconference .com/
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City of Fort Collins, CO
Ann Arbor, MI
Web site : http ://www.annarborusa .org/
What is the primary focus of the city's economic development program (e.g . BRE, attraction, economic gardening, cluster development, etc)?
By far, the majority of activity in the Ann Arbor area (which is led by an organization called "SPARK") is focused on helping local entrepreneurs and existing companies
expand and grow. They only try to recruit businesses where there is an existing niche or cluster.
The city does not have an economic development function per se . Along with the county and surrounding townships , the city outsources its economic development
function to SPARK, which was established in 2005 .
How many people are on staff in the city's economic development department (or equivalent)?
SPARK has a staff of about 18 or 19 people .
What is the budget?
SPARK is a nonprofit organization and has a budget of around $4 million . About 1 /3 of the money comes from local taxes/governmental units , another 1 /3 come from
grants and the remaining 1 /3 comes from private donation (of which about half are educational institutions and corporations) .
What are the primary economic development programs/initiatives the department funds?
SPARK runs a number of programs and works with businesses that are at the very early stages of product development to Fortune 500 companies .
In addition to running several business incubators , sponsoring weekly events and a boot camp for start-ups, SPARK is under contract with the State of Michigan to run a
$25 million Pre-C capital program that makes small loans/co-investments for early stage companies .
Is there also a chamber and/or economic development corporation that is active in economic development?
SPARK is the city and region's lead economic development organization . There is a chamber, but it focuses primarily on member services . SPARK was established in
2005 by a group of community leaders , including the current governor of Michigan . The driving force behind SPARK was the desire to create an organization focused on
entrepreneurism and technology-led economic development. SPARK replaced the Washanaw Development Council , the county/city economic development group which
focused on traditional business retention/expansion .
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What is the program or initiative that has had the greatest success over the past 5 years?
Did not want to identify a single program or best practice .
How does the city partner with the University in terms of economic development, including innovation and entrepreneurship?
SPARK has an "extremely tight and close relationship" with the University of Michigan and other local higher educational institutions . SPARK staff is in constant
communication with their colleagues at the university and meet monthly with their office of tech transfer.
The vice president of research at University of Michigan is the chairman of the Board of SPARK. The presidents of both universities are on their board . The director of the
office of tech transfer is on their executive committee .
SPARK's executive committee also has an attorney who is a venture capitalist specialist, the president of a local bank that specializes in tech start-up funding and several
successful entrepreneurs . In addition , staff members from Spark serve on the advisory boards of various entities at the University of Michigan .
It is essential to create a culture that supports that concept of entrepreneurism and risk taking . The collaboration between SPARK and the university is informal , but
ingrained in how they do business . This close relationship didn't happen overnight.
Does the city have any programs to promote entrepreneurship and innovation? If so, what makes their program(s) successful and what poses the greatest
challenges?
As described above , SPARK is involved in a number of initiatives, including incubators , boot camps , business plan competitions , etc. A local volunteer group called the
New Enterprise Forum (all help entrepreneurs with their investor presentations)
Does the city have any programs specifically aimed at engaging the student body/alumni/faculty of the university?
SPARK is one of the few ED organizations that employ a full-time person focused on talent. Her job is to connect people to highly skilled positions . She works with
community college/university to talk about the skills that technology companies are looking for and make sure graduates have the training/skills they need to get those
jobs. She also works with the student body to make connections so that students know where the opportunities are when they graduate . There is some level of brain
drain in Ann Arbor, but not as much as in past. A large percentage of start-ups are created up by non-Michigan residents .
The idea of entrepreneurship is an entire university function , not just part of the business school (also part of engineering , medical , even law school) . University tells
incoming freshman that they should plan on creating their own business . Engineering school had a program called 91 , 000 pitches . "
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Best Practice
SPARK has a Business Accelerator that offers entrepreneurial services and training , consulting , physical space and funding/incentives .
SPARK also sponsors a two-day "Entrepreneur Boot Camp , which can be considered a best practice . The camp targets early stage technology driven companies that
have at least one full-time person in the company and a team of two people to attend camp . A typical team will have already completed a first draft of a business plan and
is in the process of validating a market opportunity and refining their plan based on market feedback. Boot Camp participants have access to Cantillon eCourse , an on-
line , self-paced learning experience for technology entrepreneurs .
Boot Camp participants present their company to a panel of venture investors . Prior to the actual Boto Camp, participant receive reading and presentation materials and
have the opportunity to attend pre-Boot Camp sessions (i .e . , Spring Training for Start-Ups) .
Boot Camp outcomes include :
Concise positioning statement (Elevator pitch)
Executive summary draft
Initial investor presentation
Road map to the next company milestone
In addition , the Boot Camp includes an "after care" program designed to further the chances of entrepreneurial success among participating start-ups . At the conclusion of
Boot Camp, eligible graduating companies may receive up to $5 ,000 in business consulting through Ann Arbor SPARK as well as other start-up support.
For more information about the Boot Camp , go to http://www.annarborusa .org/media/files/SPARKBootCamp . pdf
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APPENDIX D : INNOVATION ECOSYSTEM ASSESSMENT ( ISAAC BARCHAS )
Innovation Ecosystem
Fort Collins has a robust innovation ecosystem , centered on the university and supported by impressive investments made by the university and the City to encourage the
innovation economy. From this advantageous starting point, additional highly-targeted initiatives focused on attracting early-stage investment capital could produce
effective payoffs .
Colorado State University (CSU ) is a significant innovation engine. The university's $300 million research effort generates inventions at a rate that is slightly less
efficient, but comparable to , peer institutions [Chart: Research dollars/invention disclosure: CSU, CUS, UT-Austin, UT-SD) . Organizational investments such as the
Research Innovation Center (RIC) , the Engines and
UNIVERSITY RESEARCH DOLLARS PER INVENTION DISCLOSURE ( 2009) Energy Conversion Laboratory (EECL) , and Colorado
State University Research Foundation (CSURF) seem to
$3•500•000 be paying dividends as a commercialization support
$3,000,000 system . Additionally, the "inward" marketing effort
$2,500,000
generated by the "super-clusters" (MicroRX, NeoTREX,
_
and Cenergy) seems to have been effective in
$2,000.000 communicating the value of commercialization to faculty
$1,500.000 and initiating a culture change towards
$1.0o0,000 commercialization , with invention disclosures increasing
$500,000
by approximately fifty percent over the past four years .
[Chart: Invention disclosures 2007 vs. 2011 YTD]
So
Colorado State University University of Colorado University of Texas at Austin University of California San Although the university is an important source of
System Diego
Source : Research dollar data extrapolated from the National Science Foundation Survey of Research and innovation , there may be opportunities to leverage
Development Expenditures at Universities and Colleges, available at WebCASPAR at the university's support systems more broadly in the
https://webcaspar. nsf.gov/index.jsp?subHeader-WebCASPARHome . Colorado State University data from CSU community. University-owned Intellectual property is
technology transfer office available at http://www.csurf.org/tto/per_stats. htm . University of Colorado System data from currently the focus of most commercialization efforts.
FY 2009-2010 CU Technology Transfer Performance Metrics and SWOT Analysis PPT available at This is "normal" at universities, since all of the
https://www.cu .edu/techtransfer/downloads/FY09-10_metrics. pdf. University of Texas at Austin data from the THEM
Technology Development and Transfer Report FY 2009 and FY 2010 available at Association of University Technology Managers (AUTM)
http://www.thecb.state.tx. us/reports/PDF/2137.PDF. University of California San Diego data from the UC Technology metrics emphasize this , but the implicit risk is that it may
Transfer Annual Report 2009, available at http://invent. ucsd .edu/info/documents/IASRptFY09 .pdf.
TIP Strategies , Inc. Theory Into Practice 133
Citv of Fort Collins CO
CSU INVENTION DISCLOSURES ( #)
leave many entrepreneurs/potential entrepreneurs unsupported . The business school at 140
CSU presents another important opportunity to connect innovation at CSU to with 119
innovation in Fort Collins more generally . According to CSURF interviews, the business 120
school is not significantly engaged in either teaching entrepreneurship or in supporting 100
business building , e .g . through business plan competitions or providing student talent to 80 80
incubators . The entrepreneurship education program , for example , was described as a
eo
"lesser program in the business school ."
40
Although it is a smaller city, Fort Collins seems to have ample talent to exploit the 20
opportunities presented by the innovation economy. Talent is not perceived to be a
limiting factor by commercialization executives. This aligns with the community's highly- 0 2007 2011
Invelm Disclosures
ADVANCED DEGREE HOLDERS AS A % OF TOTAL Source: Colorado State University Technology Transfer Office, available at
POPULATION http://www.csurf.org/tto/per_stats .htm .
35% 34.E educated population . Fort Collins has almost as many advanced degree
holders as Boulder (26 ,000 vs . 33 , 000) , and a higher percentage of Fort
30% — Collins' population hold advanced degrees than in either Austin or San
Diego . [Chart: Advanced degree holders as percentage of total population]
To the extent that a new venture needs talent that it cannot find in Fort
18.90% 15,W% Collins , the rest of the state , especially Boulder, should act as a "bench ."
15% For example , the Boulder Innovation Center (BIC) has a database of
10% potential start-up executives that could serve as a resource for ventures
based in Fort Collins . According to interviews , the challenge associated
5% with accessing talent outside of Fort Collins will be attracting sufficient
early stage capital . In the short-term , Fort Collins could partner with peer
RXColins BWder awn 3enDego entrepreneurship support organizations such as BIC to market local
Source: Population data from US Census bureau (2010) . Advanced degree percentages from opportunities to a broader Colorado tech/executive talent pool . The city
American Community Survey (2005-2009 estimates). All data sets available at
should also promote existing technology start-ups to the technologists and
http://factfinder.census.gov/home/saff/main .html?_tang=en .
TIP Strategies , Inc. Theory Into Practice 134
City of Fort Collins , CO
TOP Zo STATES FOR VENTURE CAPITAL INVESTMENT ( 2010)
Rank State VC executives who are already in Fort Collins at large firms
1 California $ 1156035000 ,000 (e .g . , Hewlett-Packard ) but who may not have visibility
2 Massachusetts $214725000 ,000 into the early-stage ecosystem .
3 New York $ 154015000 ,000 While talent does not seem to be a limiting factor in
4 Texas $98150005000 Fort Collins' innovation potential , local growth
5 Illinois $732,0005000 capital does seem to be a brake on its potential . As
6 Washington $63450005000 a state , Colorado is relatively well-positioned in terms
7 Pennsylvania $559,0005000 of early stage funding . Colorado is in the top 10 states
8 North Carolina $529,0005000 receiving venture capital investment. [Chart: Top 10
9 Colorado $483,0001000 states for VC investment 2010] The state also has a
10 New Jersey $4693000 , 000 relatively robust indigenous venture capital community.
Source: National Venture Capital Association , Colorado 2011 ppt, available at For example , ten Colorado-based VCs made a total of
http://www. nvca .org/index. php?option=com_docman&task=doc_download&gid=736&Itemid=93. 22 Investments last quarter alone , 12 of which were
inside the state . In short, Colorado is one of the few ;
VENTURE CAPITAL INVESTMENT PER RESEARCH DOLLAR ( 2009 ) states with a relatively large pool of potential in-state
a1.40 funders : in 2010 , in-state VCs invested $53 million in
a,p Colorado deals . The amount of venture capital invested
$1.00 f in Colorado puts it in an attractive position to
0.91
commercialize in-state research compared to many
f080 other states , although it lags the leaders . [Chart:
weo SO19 Venture capital investment per dollar of research spent,
$ 40 CA/Mk7X/C0]
w zo $0.18
While the state is well-positioned , Fort Collins does not
$oon CA MA 7X CO have a critical mass of early stage investment capital ,
Source: Venture capital investment data from PricewaterhouseCoopers Money Tree Report, historical data available which may compromise the health of Its Innovation
at https://www. pwcmoneytree.com/MTPublic/ns/index.jsp . Research dollar data extrapolated from the National economy. In Interviews , economic development
Science Foundation Survey of Research and Development Expenditures at Universities and Colleges, available at professionals and commercialization executives almost
WebCASPAR at https://webcaspar. nsf.gov/index.jsp?subHeader=WebCASPARHome . Note that venture capital data unanimously cited a lack of seed and growth funding as
fiscal year does not coincide with the university fiscal year precisely. the primary "gap" in the city's start-up ecosystem .
TIP Strategies , Inc. Theory Into Practice 135
City of Fort Collins , CO
Other interviews suggest, anecdotally, that this trend might worsen in the future : it was suggested that venture capital firms outside of Fort Collins who have historically
invested in Fort Collins start-ups ( Boulder Ventures, Vista Ventures , Sequel Ventures) are now all on their last fund , and are having difficulty raising their next fund . The
only "native" venture fund is CSU Management Corporation 's " Fund 1 . " At $3 million , the fund is relatively small and seems to emphasize Series A rather than seed stage
investments.
UNIVERSITY RESEARCH DOLLARS PER VENTURE CAPITAL INVESTMENT Given the research base at CSU , Fort Collins attracts
significantly less venture investment than it should . In
BY CITY ( 2009) comparison , San Diego "earns" $ 1 of venture capital
investment for every $0 .98 of research spending at UCSD ,
while Fort Collins "earns" $ 1 of VC investment for every $9 .57
59 . 57 of research spending at CSU . [Chart: university research
dollars per dollar of VC investment by city, San
Diego/Austin/Boulder/Fort Collins] Other seed funding
sources , such as SBIR and/or STTR grants , may be
underutilized resources . The angel investment community ;
was more active prior to 2008 , and according to interviews ,
has not yet recovered and re-organized since the recession .
$2.31
$2.66 One angel investment group , NoCo Angels , is listed with
$0.98 ACEF , but it is not clear how active the angel community is
locally or how coordinated local angels are with the university
_n 0
University of Calif omiaSan University of Texas at Colorado StateUniversity/Ft. Universrty of Colorado and City commercialization teams . It appears that the pool of
Diego/San Diego Austin/Austin Collins System/Boulder accredited investors in the community has not been deployed
Source: Research dollar data extrapolated from the National Science Foundation Survey of Research and effectively against early-stage technology opportunities .
Development Expenditures at Universities and Colleges, available at WebCASPAR at Strategies for how the existing innovation ecosystem should
https://webcaspar. nsf.gov/index.jsp?subHeader=WebCASPARHome . Boulder VC investment data from collaborate to organize known Investors and market
http://www. bouldereconomiccouncil .org/wp-content/files_mf/economicindicatorsmar2011 .pdf. Ft. Collins investment
data extrapolated from http://www.inviragen .com/news. php and http://www.solixbiofuels.com/contenVnews_Austin investment opportunities are discussed in more detail in the
VC investment data available at http://www. bizjournals.com/austin/stories/2010/02/01 /story3.html_San Diego VC following section .
investment data available at http://www.connect.org/programs/connect-
track/docs/Q409_CONNECT%201 nnovation Report. pdf.
TIP Strategies , Inc. Theory Into Practice 136
City of Fort Collins , CO
Rocky Mountain Innosphere ( RMI ) VC INVESTMENT DOLLAR PER TOTAL INCUBATION SPACE BY
The Fort Collins community has made impressive and substantial CITY ( 2009 )
investments in incubation support infrastructure, the availability of which 4500
is now a real asset for Fort Collins . In particular, the Rocky Mountain 4000 -
Innosphere ( RMI) is a significant asset that could successfully position 3,924.73
itself as the "connective tissue" linking Fort Collins' early stage 3500
community to CSU (internally) and to Colorado more broadly 3000
(externally) . Both functions would be strong ways of creating "virtual 2500 -
scale" for Fort Collins in a way that would bolster the economic health
of the region . Presently, the Fort Collins community--including the RMI 2000 - —
staff-- seem to conceive of RMI as a building and a set of educational 1500 - -
resources . In other words , RMI 's value proposition is currently stated in
terms of activities rather than outcomes . Fort Collins should embrace a 1000 -
bolder, more focused vision of the incubator as a physical manifestation 500 - •
of sets of capabilities that allow it to deliver very specific value to 0
member companies (i .e . getting them funded) . Ft. Collins Austin
Interviews suggest that there is now sufficient incubator space to Source: Ft. Collins investment data extrapolated from http://www.inviragen .com/news.php and
support the growth of Fort Collins' early-stage community. Early http://www.solixbiofuels.com/content/news. Austin VC investment data available at
stage incubation space "is the last thing in the world I worry about. " http://www. bizjournals.com/austin/stories/2010/02/01 /story3. html .
"We have enough wet lab space for start-ups via RIC , RMI , and
university labs on a contract basis . " "Now we need to fill it up ." 0.0002
Empirical comparisons to aspirational peer cities , such as Austin , also 0.0001
indicate that Fort Collins has sufficient incubation space . Fort Collins' OiNk 0.000110196
incubation capacity per capita is five-fold that of Austin . Furthermore , Ft. Collins Austin
Fort Collins has roughly 3 times the incubation space per university
research dollar compared to Austin .
Source: Research dollar data extrapolated from the National Science Foundation Survey of Research
Fort Collins may not, however, be leveraging Its Incubation assets and Development Expenditures at Universities and Colleges, available at WebCASPAR at
efficiently to enable the growth of high-potential start-ups . One way to https ://webcaspar.nsf.gov/index.jsp?subHeader=WebCASPARHome.
TIP Strategies , Inc. Theory Into Practice 137
City of Fort Collins, CO
measure this "efficiency" is to look at the amount of venture capital invested per square foot of incubation space in a city. By this measure , Fort Collins is about 1 / 13th as
efficient as Austin . This metric is not exactly on point, as it measures VC into an MSA rather than VC into companies in the MSA's incubators , but it is almost certainly
directionally correct. This suggests that Fort Collins could benefit from sharpening the value proposition of its incubation assets, specifically RMI . Based on interviews and
focus groups, the current perception of the RMI value proposition is largely based on : cost-effective office infrastructure in nice space with good location ; proximity to other
entrepreneurs; educational programing , such as Kauffman Fast Track; and advisory programs , such as SAGE mentoring . These are real sources of value , although at
least one interviewee described RMI 's value proposition as too "generic" to have real impact.
In particular, it is not clear how the current RMI value proposition directly helps member companies overcome the key barrier to technology start-up success that emerged
from the interviews and focus groups : the relative scarcity of risk capital in Fort Collins relative to its technology opportunities . This indicates that RMI 's value proposition
may need to evolve to more directly address this issue . A possible new RMI value proposition to member companies could be : "We will get you funded . " This institutional
transition will involve a mindset shift, from "serving the community" to "building winners ." It may also mean relatively less focus on broad entrepreneurship education and
support. In operational terms , the shift will require that the RMI leadership : ( 1 ) identify the most highly prospective deals ; (2) disproportionately invest RMI resources in
those deals to "polish" them and prepare them to receive investment; and (3) aggressively market those deals to capital .
To identify the most highly prospective deals , RMI should partner more directly with Colorado State University, especially CSURE's CSU -Ventures program and the
EECL . CSU is a primary source of commercial innovation in Fort Collins and has invested in the CSU -Ventures infrastructure to accelerate successful commercialization .
There currently seems to be little coordination between RMI and CSU -Ventures and/or EECL . RMI 's value proposition to CSU-Ventures and EECL could/should be : "We
will aggressively prepare your companies and market them to capital outside of Fort Collins ." In addition to creating more connective tissue between CSU's
commercialization assets and RMI , the incubator could attract other strong candidates by marketing its capabilities to the Fort Collins technology community, e .g . Hewlett-
Packard employees , so that RMI becomes a preferred point of contact for the most capable entrepreneurs/pre-entrepreneurs . The Innosphere's capabilities should also
be marketed in other start-up dense geographies , where the RMI/Fort Collins offering may be attractive , in order to attract high-potential companies .
A significant investment in RMI resources , particularly in the form of human capital , will be required to "polish" deals and prepare them to receive investment. RMI should
enhance mentorship, "interim executive" capabilities , and extend the SAGE program . The Innosphere should also broaden and deepen its areas of expertise by
developing a formal advisor/mentor network that draws from across Colorado. RMI should also consider partnering with a mentoring organization such as MIT's Venture
Mentoring Service to help establish this network and define the engagement and activities of its members . Because executive leadership is critical for early-stage
success, RMI should also identify individuals with the management talent and desire to act as "interim" executives in the top RMI deals (many of these people may be
members of the advisor/mentor network. ) The incubator could also consider partnering with existing "retired executive" groups if they exist in Colorado , and/or with a
technology start-up focused executive search firm , to identify prospective individuals to serve in these roles . The Innosphere's value proposition to mentors , advisors , and
executives could be : `RMI is a source of high quality deals through which you can give back to the community while also exploring potential options for future
engagement."
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CSU 's capabilities could also be leveraged for the benefit of RMI companies. RMI could develop formal partnerships with the business school and other relevant
programs (e .g . , engineering , communications , advertising ) for students to provide services to RMI companies . RMI could offer students the unique opportunity to work
with real start-ups, earn class credit, and/or receive compensation . Students could also be engaged with the Innosphere through class projects , internships (at RMI and
within RMI companies) . RMI could also partner with the alumni office to identify CSU alumni with skills and capabilities relevant to RMI companies , and invite those alumni
to participate . RMI member companies would also benefit from access to the CSU libraries and other facilities .
RMI should over-invest in preparing teams to pitch for funding . The staff should work with teams to ensure high quality, iterated documents . Pitches should be
rehearsed with a "funding committee ," a small group of local angel investors and locally successful entrepreneurs who can listen to practice pitches and provide targeted
coaching . RMI should also identify "friendly" investors in Colorado who would be willing to provide similar feedback via high-quality video conference . When teams are
prepared to pitch , RMI should aggressively market those deals to capital .
Pre-venture capital in the form of SBIR funding (and other sources of non-dilutive funding) was highlighted as a critical funding gap in many interviews . SBIR funding
could be operationalized and potentially funded as a partnership between the City, CSU , and RMI . The goal of the incubator should be to lower the transactions cost of
pursuing angel funding for member companies . In this spirit, the Innosphere should take steps to revitalize and/or build a replacement for the NoCo Angels, drawing on
best practices from the Angel Capital Association . RMI could also Partner with CSU to form a "CSU Angel Network" of CSU alumni interested in funding deals connected
to CSU (typically, either based on CSU technology or founded by CSU students or alumni) . Several other universities , including Texas A&M and Baylor, have established
such "alumni investor" networks . RMI could also work closely with CSU Management Corporation as a prospective source of funding and expertise .
Anecdotes and comparative statistics suggest that Fort Collins appears to be "off the radar" for many early stage investors . Targeted marketing to early stage
investors outside of the community in order to raise awareness of the opportunities that Fort Collins may present, could include peer-to-peer interactions between Fort
Collins angels/executives and Boulder and Denver-based investors . Fort Collins could also partner with other communities in Colorado to host venture expos , tours ,
and/or other programs designed to attract out of state investors to Colorado . The Innosphere should market RMI deals to investors outside of Fort Collins by developing
personal relationships with partners in investment firms in Denver and Boulder, explaining what RMI is doing , and sharing notable successes . It will be important to
understand the firms' investment philosophies , sector foci , and funding parameters . The staff should build a detailed picture of what kind of deal each partner/firm wants
to see before attempting to establish a relationship; treat these investors as "customers" that RMI is serving with "products" that are RMI companies .
The Innosphere should also engage in "retail level" marketing of RMI 's very best deals to the investors to whom the deal should be most attractive . It is important to ask
investors to help provide feedback on deals that are "early" for the investor, but which might be ready in 6- 12 months . Innosphere staff should accompany (well-
rehearsed) teams to pitches , and ensure that they act on any investor feedback. The staff should also develop a small network of institutions aligned with RMI 's mission
who have strong investor networks of their own , and leverage those relationships for selective deals . Examples of "aligned institutions" include : NREL , ATI , Surge
Accelerator. RMI should also engage in light touch "wholesale" marketing to communicate RMI 's new value proposition to the investor community.
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City of Fort Collins , CO
An aggressive , on-going public relations campaign will be an important component of engaging investors outside of the community . Fort Collins and RMI should ensure
that "home-grown" successes receive more aggressive national coverage in media consumed by the investor community. A public relations campaign will benefit the
entrepreneurs whose stories are celebrated and the start-up community more broadly. The "Fort Collins brand" will continue to be associated with innovation successes
and RMI in particular will gain visibility as a high-impact incubator.
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